0001104659-15-067241.txt : 20150925 0001104659-15-067241.hdr.sgml : 20150925 20150925111943 ACCESSION NUMBER: 0001104659-15-067241 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 12 CONFORMED PERIOD OF REPORT: 20150831 FILED AS OF DATE: 20150925 DATE AS OF CHANGE: 20150925 FILER: COMPANY DATA: COMPANY CONFORMED NAME: AAR CORP CENTRAL INDEX KEY: 0000001750 STANDARD INDUSTRIAL CLASSIFICATION: AIRCRAFT & PARTS [3720] IRS NUMBER: 362334820 STATE OF INCORPORATION: DE FISCAL YEAR END: 0531 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-06263 FILM NUMBER: 151124497 BUSINESS ADDRESS: STREET 1: 1100 N WOOD DALE RD CITY: WOOD DALE STATE: IL ZIP: 60191 BUSINESS PHONE: 6302272000 MAIL ADDRESS: STREET 1: 1100 N WOOD DALE RD CITY: WOOD DALE STATE: IL ZIP: 60191 FORMER COMPANY: FORMER CONFORMED NAME: ALLEN AIRCRAFT RADIO INC DATE OF NAME CHANGE: 19700204 10-Q 1 a15-18946_110q.htm 10-Q

Table of Contents

 

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 10-Q

 

x      QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the Quarterly Period Ended August 31, 2015

 

or

 

o         TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the transition period from        to        

 

Commission File No. 1-6263

 

AAR CORP.

(Exact name of registrant as specified in its charter)

 

Delaware

 

36-2334820

(State or other jurisdiction of incorporation
or organization)

 

(I.R.S. Employer Identification No.)

 

One AAR Place, 1100 N. Wood Dale Road
Wood Dale, Illinois

 

60191

(Address of principal executive offices)

 

(Zip Code)

 

(630) 227-2000

(Registrant’s telephone number, including area code)

 

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes  x  No  o

 

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).  Yes  x   No o

 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

 

 Large accelerated filer  x

Accelerated filer  o

Non-accelerated filer  o

Smaller reporting company  o

 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes  o  No  x

 

As of August 31, 2015, there were 35,206,053 shares of the registrant’s Common Stock, $1.00 par value per share, outstanding.

 

 

 



Table of Contents

 

AAR CORP. and Subsidiaries

Quarterly Report on Form 10-Q

For the Quarter Ended August 31, 2015

Table of Contents

 

 

 

Page

Part I — FINANCIAL INFORMATION

 

Item 1.

Financial Statements

 

 

Condensed Consolidated Balance Sheets

3

 

Condensed Consolidated Statements of Income

5

 

Condensed Consolidated Statements of Comprehensive Income

6

 

Condensed Consolidated Statements of Cash Flows

7

 

Condensed Consolidated Statement of Changes in Equity

8

 

Notes to Condensed Consolidated Financial Statements

9

Item 2.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

17

Item 3.

Quantitative and Qualitative Disclosures About Market Risk

21

Item 4.

Controls and Procedures

21

 

 

Part II — OTHER INFORMATION

 

Item 1.

Legal Proceedings

22

Item 1A.

Risk Factors

22

Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds

22

Item 6.

Exhibits

22

 

 

Signature Page

23

Exhibit Index

24

 

2



Table of Contents

 

PART I — FINANCIAL INFORMATION

 

Item 1 — Financial Statements

 

AAR CORP. and Subsidiaries

Condensed Consolidated Balance Sheets

As of August 31, 2015 and May 31, 2015

(In millions, except share data)

 

ASSETS

 

 

 

August 31,

 

May 31,

 

 

 

2015

 

2015

 

 

 

(Unaudited)

 

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

Cash and cash equivalents

 

$

28.7

 

$

54.7

 

Accounts receivable, less allowances of $4.4 and $5.8, respectively

 

270.6

 

229.0

 

Inventories

 

478.6

 

456.0

 

Rotable spares and equipment on or available for short-term lease

 

111.6

 

110.7

 

Assets of discontinued operations

 

12.2

 

17.0

 

Deposits, prepaids and other

 

37.3

 

28.4

 

Deferred tax assets

 

58.3

 

58.3

 

Total current assets

 

997.3

 

954.1

 

 

 

 

 

 

 

Property, plant and equipment, net of accumulated depreciation of $409.0 and $398.5, respectively

 

214.4

 

214.8

 

 

 

 

 

 

 

Other assets:

 

 

 

 

 

Goodwill

 

123.6

 

123.5

 

Intangible assets, net of accumulated amortization of $23.7 and $22.5, respectively

 

36.2

 

36.7

 

Equipment on or available for long-term lease

 

82.1

 

80.2

 

Investment in joint ventures

 

17.4

 

20.5

 

Other

 

76.2

 

85.2

 

 

 

335.5

 

346.1

 

 

 

$

1,547.2

 

$

1,515.0

 

 

The accompanying Notes to Condensed Consolidated Financial

Statements are an integral part of these statements.

 

3



Table of Contents

 

AAR CORP. and Subsidiaries

Condensed Consolidated Balance Sheets

As of August 31, 2015 and May 31, 2015

(In millions, except share data)

 

LIABILITIES AND EQUITY

 

 

 

August 31,

 

May 31,

 

 

 

2015

 

2015

 

 

 

(Unaudited)

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

Current maturities of long-term debt

 

$

44.5

 

$

69.0

 

Accounts and trade notes payable

 

151.8

 

142.3

 

Accrued liabilities

 

181.8

 

200.7

 

Total current liabilities

 

378.1

 

412.0

 

 

 

 

 

 

 

Long-term debt, less current maturities

 

135.0

 

85.0

 

Deferred tax liabilities

 

101.1

 

104.6

 

Other liabilities and deferred income

 

76.0

 

68.3

 

 

 

312.1

 

257.9

 

 

 

 

 

 

 

Equity:

 

 

 

 

 

Preferred stock, $1.00 par value, authorized 250,000 shares; none issued

 

 

 

Common stock, $1.00 par value, authorized 100,000,000 shares; issued 45,074,491 and 44,895,934 shares at cost, respectively

 

45.1

 

44.9

 

Capital surplus

 

443.9

 

442.6

 

Retained earnings

 

664.6

 

644.3

 

Treasury stock, 9,868,438 and 9,473,058 shares at cost, respectively

 

(256.6

)

(246.3

)

Accumulated other comprehensive loss

 

(40.0

)

(40.4

)

Total equity

 

857.0

 

845.1

 

 

 

$

1,547.2

 

$

1,515.0

 

 

The accompanying Notes to Condensed Consolidated Financial

Statements are an integral part of these statements.

 

4



Table of Contents

 

AAR CORP. and Subsidiaries

Condensed Consolidated Statements of Income

For the Three Months Ended August 31, 2015 and 2014

(Unaudited)

(In millions)

 

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Sales:

 

 

 

 

 

Sales from products

 

$

204.0

 

$

221.3

 

Sales from services

 

173.8

 

173.8

 

 

 

377.8

 

395.1

 

Cost and operating expenses:

 

 

 

 

 

Cost of products

 

169.8

 

194.3

 

Cost of services

 

153.5

 

138.4

 

Selling, general and administrative

 

39.4

 

38.5

 

 

 

362.7

 

371.2

 

Earnings (Loss) from joint ventures

 

(0.3

)

0.6

 

Operating income

 

14.8

 

24.5

 

Loss on extinguishment of debt

 

(0.3

)

 

Interest expense

 

(2.0

)

(6.4

)

Interest income

 

0.1

 

0.1

 

Income from continuing operations before provision for income taxes

 

12.6

 

18.2

 

Provision for income taxes

 

4.4

 

6.4

 

Income from continuing operations attributable to AAR

 

8.2

 

11.8

 

Discontinued operations:

 

 

 

 

 

Operating income (loss)

 

(4.9

)

3.3

 

Gain from contingent consideration

 

27.7

 

 

Provision for income taxes

 

8.1

 

0.6

 

Income from discontinued operations

 

14.7

 

2.7

 

Income attributable to noncontrolling interest from discontinued operations

 

 

0.1

 

Income from discontinued operations attributable to AAR

 

14.7

 

2.6

 

Net income attributable to AAR

 

$

22.9

 

$

14.4

 

 

 

 

 

 

 

Earnings per share — basic:

 

 

 

 

 

Earnings from continuing operations

 

$

0.23

 

$

0.29

 

Earnings from discontinued operations

 

0.42

 

0.07

 

Earnings per share — basic

 

$

0.65

 

$

0.36

 

 

 

 

 

 

 

Earnings per share — diluted:

 

 

 

 

 

Earnings from continuing operations

 

$

0.23

 

$

0.29

 

Earnings from discontinued operations

 

0.42

 

0.07

 

Earnings per share — diluted

 

$

0.65

 

$

0.36

 

 

The accompanying Notes to Condensed Consolidated Financial

Statements are an integral part of these statements.

 

5



Table of Contents

 

AAR CORP. and Subsidiaries

Condensed Consolidated Statements of Comprehensive Income

For the Three Months Ended August 31, 2015 and 2014

(Unaudited)

(In millions)

 

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Net income attributable to AAR and noncontrolling interest

 

$

22.9

 

$

14.5

 

Other comprehensive income (loss), net of tax expense (benefit):

 

 

 

 

 

Currency translation adjustments, net of tax of $0.1 and ($0.4)

 

0.2

 

(9.0

)

Unrealized gain on derivative instruments:

 

 

 

 

 

Unrealized gain arising during period, net of tax of $0.0 and $0.2

 

 

0.3

 

Pension and other post-retirement plans:

 

 

 

 

 

Amortization of actuarial loss and prior service cost included in net income, net of tax of $0.1 and $0.1

 

0.2

 

0.1

 

Other comprehensive income (loss), net of tax

 

0.4

 

(8.6

)

Comprehensive income, net of tax

 

23.3

 

5.9

 

Comprehensive income related to noncontrolling interest

 

 

(0.1

)

Comprehensive income attributable to AAR

 

$

23.3

 

$

5.8

 

 

The accompanying Notes to Condensed Consolidated Financial

Statements are an integral part of these statements.

 

6



Table of Contents

 

AAR CORP. and Subsidiaries

Condensed Consolidated Statements of Cash Flows

For the Three Months Ended August 31, 2015 and 2014

(Unaudited)

(In millions)

 

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Cash flows provided from (used in) operating activities:

 

 

 

 

 

Net income attributable to AAR and noncontrolling interest

 

$

22.9

 

$

14.5

 

Less: Income from discontinued operations

 

(14.7

)

(2.7

)

Income from continuing operations attributable to AAR

 

8.2

 

11.8

 

Adjustments to reconcile net income to net cash provided from (used in) operating activities:

 

 

 

 

 

Depreciation and intangible amortization

 

12.7

 

13.2

 

Amortization of stock-based compensation

 

2.0

 

2.0

 

Amortization of debt discount

 

0.6

 

0.7

 

Amortization of overhaul costs

 

4.7

 

6.2

 

Deferred tax provision (benefit)

 

(4.0

)

1.2

 

Loss on extinguishment of debt

 

0.3

 

 

Loss (Earnings) from joint ventures

 

0.3

 

(0.6

)

Changes in certain assets and liabilities:

 

 

 

 

 

Accounts receivable

 

(41.5

)

(19.4

)

Inventories

 

(22.2

)

(6.7

)

Rotable spares and equipment on or available for short-term lease

 

(0.7

)

0.2

 

Equipment on or available for long-term lease

 

(4.2

)

(7.1

)

Accounts and trade notes payable

 

9.7

 

31.2

 

Accrued and other liabilities

 

(25.4

)

(13.2

)

Other, primarily program and overhaul costs

 

(5.9

)

(2.7

)

Net cash provided from (used in) operating activities — continuing operations

 

(65.4

)

16.8

 

Net cash provided from (used in) operating activities — discontinued operations

 

1.7

 

(1.8

)

Net cash provided from (used in) operating activities

 

(63.7

)

15.0

 

Cash flows provided from (used in) investing activities:

 

 

 

 

 

Property, plant and equipment expenditures

 

(15.0

)

(7.8

)

Payments for acquisitions

 

 

(1.0

)

Proceeds from asset disposals

 

6.5

 

 

Proceeds from aircraft joint ventures

 

2.5

 

 

Other

 

 

(0.1

)

Net cash used in investing activities — continuing operations

 

(6.0

)

(8.9

)

Net cash provided from (used in) investing activities — discontinued operations

 

27.3

 

(1.2

)

Net cash provided from (used in) investing activities

 

21.3

 

(10.1

)

Cash flows provided from (used in) financing activities:

 

 

 

 

 

Short-term borrowings (repayments), net

 

55.0

 

 

Reduction in long-term borrowings

 

(30.3

)

(7.3

)

Reduction in capital lease obligations

 

 

(1.5

)

Cash dividends

 

(2.6

)

(3.0

)

Purchase of treasury stock

 

(7.1

)

 

Stock option exercises

 

1.4

 

0.2

 

Tax benefits from exercise of stock options

 

0.1

 

0.6

 

Other

 

(0.2

)

 

Net cash provided from (used in) financing activities — continuing operations

 

16.3

 

(11.0

)

Net cash used in financing activities — discontinued operations

 

 

(0.6

)

Net cash provided from (used in) financing activities

 

16.3

 

(11.6

)

Effect of exchange rate changes on cash

 

0.1

 

(0.7

)

Decrease in cash and cash equivalents

 

(26.0

)

(7.4

)

Cash and cash equivalents, beginning of period

 

54.7

 

89.2

 

Cash and cash equivalents, end of period

 

$

28.7

 

$

81.8

 

 

The accompanying Notes to Condensed Consolidated Financial

Statements are an integral part of these statements.

 

7



Table of Contents

 

AAR CORP. and Subsidiaries

Condensed Consolidated Statements of Changes in Equity

For the Three Months Ended August 31, 2015

(Unaudited)

(In millions)

 

 

 

 

 

 

 

 

 

 

 

Accumulated

 

 

 

 

 

 

 

 

 

 

 

 

 

Other

 

 

 

 

 

Common

 

Capital

 

Retained

 

Treasury

 

Comprehensive

 

 

 

 

 

Stock

 

Surplus

 

Earnings

 

Stock

 

Income (Loss)

 

Total Equity

 

Balance, May 31, 2015

 

$

44.9

 

$

442.6

 

$

644.3

 

$

(246.3

)

$

(40.4

)

$

845.1

 

Net income

 

 

 

22.9

 

 

 

22.9

 

Cash dividends

 

 

 

(2.6

)

 

 

(2.6

)

Stock option activity

 

 

0.4

 

 

1.5

 

 

1.9

 

Restricted stock activity

 

0.2

 

1.0

 

 

(4.7

)

 

(3.5

)

Repurchase of shares

 

 

 

 

(7.1

)

 

(7.1

)

Equity portion of bond repurchase

 

 

(0.1

)

 

 

 

(0.1

)

Other comprehensive income, net of tax

 

 

 

 

 

0.4

 

0.4

 

Balance, August 31, 2015

 

$

45.1

 

$

443.9

 

$

664.6

 

$

(256.6

)

$

(40.0

)

$

857.0

 

 

The accompanying Notes to Condensed Consolidated Financial

Statements are an integral part of these statements.

 

8



Table of Contents

 

AAR CORP. and Subsidiaries

Notes to Condensed Consolidated Financial Statements

August 31, 2015

(Unaudited)

(Dollars in millions, except per share amounts)

 

Note 1 — Basis of Presentation

 

AAR CORP. and its subsidiaries are referred to herein collectively as “AAR,” “Company,” “we,” “us,” and “our,” unless the context indicates otherwise.  The accompanying Condensed Consolidated Financial Statements include the accounts of AAR and its subsidiaries after elimination of intercompany accounts and transactions.

 

We have prepared these statements without audit, pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”).  The Condensed Consolidated Balance Sheet as of May 31, 2015 has been derived from audited financial statements.  To prepare the financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”), management has made a number of estimates and assumptions relating to the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities.  Actual results could differ from those estimates.  Certain information and note disclosures, normally included in comprehensive financial statements prepared in accordance with GAAP, have been condensed or omitted pursuant to such rules and regulations of the SEC.  These Condensed Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and notes thereto included in our latest annual report on Form 10-K.

 

In the opinion of management, the condensed consolidated financial statements reflect all adjustments (which consist only of normal recurring adjustments) necessary to present fairly the condensed consolidated financial position of AAR CORP. and its subsidiaries as of August 31, 2015, the Condensed Consolidated Statements of Income and the Condensed Consolidated Statements of Comprehensive Income for the three month periods ended August 31, 2015 and 2014, the Condensed Consolidated Statements of Cash Flows for the three month periods ended August 31, 2015 and 2014, and the Condensed Consolidated Statement of Changes in Equity for the three month period ended August 31, 2015.  The results of operations for such interim periods are not necessarily indicative of the results for the full year.

 

New Accounting Pronouncements

 

In April 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-08, Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity which requires that a disposal representing a strategic shift that has or will have a major effect on an entity’s financial results or a business activity classified as held for sale should be reported as discontinued operations. This ASU also expands the disclosure requirements for discontinued operations and add new disclosures for individually significant dispositions that do not qualify as discontinued operations. The Company adopted this guidance on June 1, 2015 which resulted in expanded disclosures related to the income statement and cash flow activities of our discontinued operations.

 

In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, which provides guidance for revenue recognition.  This ASU affects any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of non-financial assets.  This ASU will supersede the revenue recognition requirements in ASC 605, Revenue Recognition, and most industry-specific guidance.  This ASU also supersedes certain cost guidance included in Subtopic 605-35, Revenue Recognition-Construction-Type and Production-Type Contracts.  In August 2015, the FASB issued ASU No. 2015-14 which deferred the effective date of the new standard by one year which will make the new standard effective for us beginning June 1, 2018.  We are currently evaluating the impact of the adoption of this new standard on our consolidated financial statements.

 

In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs.  This ASU amends existing guidance to require the presentation of debt issuance costs in the balance sheet as a deduction from the carrying amount of the related debt liability instead of a deferred charge.  This new standard will be effective for us beginning June 1, 2016 with early adoption permitted.  We are currently evaluating the impact of the adoption of this new standard on our consolidated financial statements.

 

9



Table of Contents

 

AAR CORP. and Subsidiaries

Notes to Condensed Consolidated Financial Statements

August 31, 2015

(Unaudited)

(Dollars in millions, except per share amounts)

 

Note 2 — Discontinued Operations

 

On March 26, 2015, we completed the sale of our Telair Cargo Group to TransDigm, Inc.  The Telair Cargo Group was comprised of Telair International, Telair US, and Nordisk Aviation Products.  Cash received at closing in the fourth quarter of fiscal 2015 before fees and expenses was $705 million.  The sale also allowed for contingent consideration of up to $35 million based on the occurrence of certain post-closing events related to the A400M cargo system.  We recognized a pre-tax gain on the sale (net of transaction expenses and fees) of $198.6 million in the fourth quarter of fiscal 2015.

 

In the first quarter of fiscal 2016, we recognized a gain of $27.7 million net of expenses representing the resolution of the contingent consideration related to the A400M cargo system.

 

During fiscal 2015, we also announced our intention to sell our Precision Systems Manufacturing (“PSM”) business comprised of our metal and composite machined and fabricated parts manufacturing operations.  We recognized impairment charges of $57.5 million during fiscal 2015 to reduce the carrying value of the PSM business’s net assets to their expected value at the time of sale.

 

Telair Cargo Group and PSM are reported as discontinued operations in the Condensed Consolidated Statements of Income for all periods presented.  Interest expense allocated to discontinued operations was $0 million and $2.9 million during the three months ended August 31, 2015 and 2014, respectively.  No amounts for general corporate overhead were allocated to discontinued operations.

 

Liabilities of discontinued operations of $4.9 million and $5.4 million at August 31, 2015 and May 31, 2015, respectively, were classified as Accrued Liabilities on the Condensed Consolidated Balance Sheet.  Operating income from discontinued operations for the three month periods ended August 31, 2015 and 2014 was comprised of the following:

 

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Sales

 

$

11.4

 

$

74.1

 

Costs of sales

 

(14.8

)

(61.2

)

Selling, general and administrative expenses

 

(1.5

)

(6.4

)

Interest expense, net

 

 

(3.2

)

Operating income (loss) from discontinued operations

 

$

(4.9

)

$

3.3

 

 

Unless otherwise noted, amounts and disclosures throughout these Notes to Condensed Consolidated Financial Statements relate to our continuing operations.

 

Note 3 — Revenue Recognition

 

Sales and related cost of sales for product sales are recognized upon shipment of the product to the customer.  Our standard terms and conditions provide that title passes to the customer when the product is shipped to the customer.  Sales of certain defense products are recognized upon customer acceptance, which includes transfer of title.  Under the majority of our expeditionary airlift services contracts, we are paid and record as revenue a fixed daily amount per aircraft for each day an aircraft is available to perform airlift services.  In addition, we are paid and record as revenue an amount which is based on number of hours flown.  Sales from services and the related cost of services are generally recognized when customer-owned material is shipped back to the customer.  We have adopted this accounting policy because at the time the customer-owned material is shipped back to the customer; all services related to that material are complete as our service agreements generally do not require us to provide services at customer sites.  Furthermore, serviced units are typically shipped to the customer immediately upon completion of the related services.  Sales and related cost of sales for certain large airframe maintenance contracts and performance-based logistics programs are recognized by the percentage of completion method, based on the relationship of costs incurred to date to the estimated total costs.  Lease revenues are recognized as earned.  Income

 

10



Table of Contents

 

AAR CORP. and Subsidiaries

Notes to Condensed Consolidated Financial Statements

August 31, 2015

(Unaudited)

(Dollars in millions, except per share amounts)

 

from monthly or quarterly rental payments is recorded in the pertinent period according to the lease agreement.  However, for leases that provide variable rents, we recognize lease income on a straight-line basis.  In addition to a monthly lease rate, some engine leases require an additional rental amount based on the number of hours the engine is used in a particular month.  Lease income associated with these contingent rentals is recorded in the period in which actual usage is reported to us by the lessee, which is normally the month following the actual usage.

 

Certain supply chain management programs we provide to our customers contain multiple elements or deliverables, such as program and warehouse management, parts distribution, and maintenance and repair services.  We recognize revenue for each element or deliverable that can be identified as a separate unit of accounting at the time of delivery based upon the relative fair value of the products and services.

 

Included in accounts receivable as of August 31, 2015 and May 31, 2015, are $28.8 million and $21.1 million, respectively, of unbilled accounts receivable related to a defense-related supply program.  These unbilled accounts receivable relate to costs we have incurred on parts that were requested and accepted by our customer to support the program.  These costs have not been billed by us because the customer has not issued the final paperwork necessary to allow for billing.

 

Note 4 — Accounting for Stock-Based Compensation

 

Restricted Stock

 

In August 2015, as part of our annual long-term stock incentive compensation, we granted 109,269 shares of performance-based restricted stock and 28,069 shares of time-based restricted stock to eligible employees.  The grant date fair value per share for both grants was $26.62.  In June 2015, we also granted 45,000 shares of time-based restricted stock to members of the Board of Directors with a grant date fair value per share of $29.54.

 

Expense charged to operations for restricted stock during the three month periods ended August 31, 2015 and 2014 was $1.2 million and $1.3 million, respectively.

 

Stock Options

 

In August 2015, as part of our annual long-term stock incentive compensation, we granted 488,767 stock options to eligible employees at an exercise price of $26.62 and weighted average fair value of $7.48.  The fair value of stock options was estimated on the date of grant using the Black-Scholes option pricing model with the following assumptions:

 

Risk-free interest rate

 

1.6

%

Expected volatility of common stock

 

36.1

%

Dividend yield

 

1.1

%

Expected option term in years

 

4.2

 

 

The total intrinsic value of stock options exercised during the three month periods ended August 31, 2015 and 2014 was $0.8 million and $1.0 million, respectively.  Expense charged to operations for stock options during the three month periods ended August 31, 2015 and 2014 was $0.8 million and $0.7 million, respectively.  No stock options were granted during the three month period ended August 31, 2014.

 

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Table of Contents

 

AAR CORP. and Subsidiaries

Notes to Condensed Consolidated Financial Statements

August 31, 2015

(Unaudited)

(Dollars in millions, except per share amounts)

 

Note 5 — Inventory

 

The summary of inventories is as follows:

 

 

 

August 31,

 

May 31,

 

 

 

2015

 

2015

 

Raw materials and parts

 

$

40.7

 

$

43.1

 

Work-in-process

 

18.9

 

18.1

 

Aircraft and engine parts, components and finished goods

 

363.1

 

337.0

 

Aircraft held for sale and related support parts

 

55.9

 

57.8

 

 

 

$

478.6

 

$

456.0

 

 

We had ten aircraft held for sale comprised of five fixed-wing and five rotary-wing aircraft at August 31, 2015 and eleven aircraft held for sale comprised of five fixed-wing and six rotary-wing aircraft at May 31, 2015.  During the fourth quarter of fiscal 2015, we entered into a sale-leaseback transaction for our two S-92 rotary-wing aircraft.  We received proceeds of $40.3 million in fiscal 2015 which have been deferred as a sale-leaseback advance pending completion of the sale transaction, which is expected to occur in fiscal 2016.

 

Note 6 — Supplemental Cash Flow Information

 

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Interest paid

 

$

1.2

 

$

13.9

 

Income taxes paid

 

23.5

 

2.6

 

Income tax refunds received

 

1.1

 

1.3

 

 

Note 7 — Financing Arrangements

 

A summary of the carrying amount of our debt is as follows:

 

 

 

August 31,

 

May 31,

 

 

 

2015

 

2015

 

 

 

 

 

 

 

Revolving Credit Facility expiring March 24, 2020 with interest payable monthly

 

$

105.0

 

$

50.0

 

Industrial revenue bond (secured by property, plant and equipment) due August 1, 2018 with interest payable monthly

 

25.0

 

25.0

 

Note payable due March 9, 2017 with floating interest rate, payable semi-annually on June 1 and December 1

 

15.0

 

20.0

 

Convertible notes payable due March 1, 2016 with interest at 2.25% payable semi-annually on March 1 and September 1

 

34.5

 

48.0

 

Mortgage loan (secured by Wood Dale, Illinois facility) due August 1, 2015

 

 

11.0

 

Total debt

 

179.5

 

154.0

 

Current maturities of debt

 

(44.5

)

(69.0

)

Long-term debt

 

$

135.0

 

$

85.0

 

 

At August 31, 2015, the carrying value of our 2.25% convertible notes was $34.5 million and the estimated fair value was approximately $35.5 million.  The 2.25% convertible notes are classified as Level 2 in the fair value hierarchy.  This classification is defined as a fair value determined using market-based inputs other than quoted prices that are observable for the liability, either directly or indirectly.

 

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Table of Contents

 

AAR CORP. and Subsidiaries

Notes to Condensed Consolidated Financial Statements

August 31, 2015

(Unaudited)

(Dollars in millions, except per share amounts)

 

At August 31, 2015, the remaining variable rate and fixed rate debt had a fair value that approximates the carrying value of $145.0 million.  These debt instruments are classified as Level 3 in the fair value hierarchy which is defined as a fair value determined based upon one or more significant unobservable inputs.

 

We are subject to a number of covenants under our financing arrangements, including restrictions that relate to the payment of cash dividends, maintenance of debt-to-EBITDA and interest coverage ratios, sales of assets, additional financing, purchase of our shares and other matters.  We are in compliance with all financial and other covenants under our financing arrangements.

 

Convertible Notes

 

During the three-month period ended August 31, 2015, we repurchased $14.4 million of our outstanding 2.25% convertible notes due March 1, 2016 for $14.6 million cash including $0.2 million of accrued interest.  We recognized a $0.3 million loss on the early extinguishment of the notes.

 

The interest expense associated with the convertible notes was as follows:

 

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Coupon interest

 

$

0.3

 

$

0.5

 

Amortization of deferred financing fees

 

 

0.1

 

Amortization of discount

 

0.6

 

0.7

 

Interest expense related to convertible notes

 

$

0.9

 

$

1.3

 

 

Note 8 — Derivative Instruments and Hedging Activities

 

We are exposed to interest rate risk associated with fluctuations in interest rates on our variable rate debt.  Prior to the fourth quarter of fiscal 2015, we utilized two derivative financial instruments to manage our variable interest rate exposure.  We utilized a floating-to-fixed interest rate swap and an interest rate cap agreement with each hedging $50.0 million of notional principal interest under our Revolving Credit Facility.  In connection with the Amendment of our Revolving Credit Facility, we settled our floating-to-fixed interest rate swap and interest rate cap agreements in the fourth quarter of fiscal 2015 for approximately $2.6 million.

 

Prior to the settlement, the derivatives instruments were classified as cash flow hedges with gains and losses on the derivative instruments included in other comprehensive income.  We recognized gains and losses on our derivative instruments as an adjustment to interest expense in the period the hedged interest payment affected earnings.

 

Note 9 — Earnings per Share

 

The computation of basic earnings per share is based on the weighted average number of common shares outstanding during each period.  The computation of diluted earnings per share is based on the weighted average number of common shares outstanding during the period plus, when their effect is dilutive, incremental shares consisting of shares subject to stock options, shares issuable upon vesting of restricted stock awards, and shares to be issued upon conversion of convertible debt.

 

We used the “if-converted” method in calculating the diluted earnings per share effect of the assumed conversion of our contingently convertible debt because the principal for that issuance can be settled in stock, cash, or a combination thereof.  Under the “if converted” method, the after-tax effect of interest expense related to the convertible securities is added back to net income, and the convertible debt is assumed to have been converted into common shares at the beginning of the period.

 

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Table of Contents

 

AAR CORP. and Subsidiaries

Notes to Condensed Consolidated Financial Statements

August 31, 2015

(Unaudited)

(Dollars in millions, except per share amounts)

 

In accordance with ASC 260-10-45, Share-Based Payment Arrangements and Participating Securities and the Two-Class Method, our unvested restricted stock awards are deemed participating securities since these shares are entitled to participate in dividends declared on common shares.  During periods of net income, the calculation of earnings per share for common stock excludes income attributable to unvested restricted stock awards from the numerator and excludes the dilutive impact of those shares from the denominator.  During periods of net loss, no effect is given to the participating securities because they do not share in the losses of the Company.

 

The following table provides a reconciliation of the computations of basic and diluted earnings per share information for the three month periods ended August 31, 2015 and 2014.

 

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Basic EPS:

 

 

 

 

 

Income from continuing operations

 

$

8.2

 

$

11.8

 

Less income attributable to participating shares

 

(0.2

)

(0.2

)

Income from continuing operations attributable to common shareholders

 

8.0

 

11.6

 

Income from discontinued operations attributable to common shareholders

 

14.7

 

2.6

 

Net income attributable to common shareholders for earnings per share — basic

 

$

22.7

 

$

14.2

 

 

 

 

 

 

 

Diluted EPS:

 

 

 

 

 

Income from continuing operations

 

$

8.2

 

$

11.8

 

Less income attributable to participating shares

 

(0.2

)

(0.2

)

Income from continuing operations attributable to common shareholders

 

8.0

 

11.6

 

Income from discontinued operations attributable to common shareholders

 

14.7

 

2.6

 

Net income attributable to common shareholders for earnings per share — diluted

 

$

22.7

 

$

14.2

 

 

 

 

 

 

 

Weighted average common shares outstanding—basic

 

34.7

 

38.8

 

Additional shares from assumed exercise of stock options

 

0.4

 

0.4

 

Weighted average common shares outstanding—diluted

 

35.1

 

39.2

 

 

 

 

 

 

 

Earnings per share — basic:

 

 

 

 

 

Earnings from continuing operations

 

$

0.23

 

$

0.29

 

Earnings from discontinued operations

 

0.42

 

0.07

 

Earnings per share — basic

 

$

0.65

 

$

0.36

 

 

 

 

 

 

 

Earnings per share — diluted:

 

 

 

 

 

Earnings from continuing operations

 

$

0.23

 

$

0.29

 

Earnings from discontinued operations

 

0.42

 

0.07

 

Earnings per share — diluted

 

$

0.65

 

$

0.36

 

 

At August 31, 2015 and 2014, respectively, stock options to purchase 148,163 shares and 180,163 shares of common stock were outstanding, but were not included in the computation of diluted earnings per share because the exercise price of each of these options was greater than the average market price of the common shares during the interim periods then ended.

 

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Table of Contents

 

AAR CORP. and Subsidiaries

Notes to Condensed Consolidated Financial Statements

August 31, 2015

(Unaudited)

(Dollars in millions, except per share amounts)

 

Note 10 — Accumulated Other Comprehensive Loss

 

Changes in our accumulated other comprehensive loss (“AOCL”) by component for the three month periods ended August 31, 2015 and 2014 were as follows:

 

 

 

Currency
Translation
Adjustments

 

Pensions
Plans

 

Derivative
Instruments

 

Total

 

Balance at June 1, 2015

 

$

0.9

 

$

(41.3

)

$

 

$

(40.4

)

Reclassification within AOCL

 

(2.0

)

2.0

 

 

 

Other comprehensive income (loss) before reclassifications from AOCL

 

0.2

 

 

 

0.2

 

Amounts reclassified from AOCL

 

 

0.2

 

 

0.2

 

Total other comprehensive income (loss)

 

0.2

 

0.2

 

 

0.4

 

Balance at August 31, 2015

 

$

(0.9

)

$

(39.1

)

$

 

$

(40.0

)

 

 

 

 

 

 

 

 

 

 

Balance at June 1, 2014

 

$

8.7

 

$

(35.4

)

$

(2.6

)

$

(29.3

)

Other comprehensive income before reclassifications

 

(9.0

)

 

0.3

 

(8.7

)

Amounts reclassified from AOCL

 

 

0.1

 

 

0.1

 

Total other comprehensive income (loss)

 

(9.0

)

0.1

 

0.3

 

(8.6

)

Balance at August 31, 2014

 

$

(0.3

)

$

(35.3

)

$

(2.3

)

$

(37.9

)

 

Note 11 — Business Segment Information

 

Consistent with how our chief operating decision making officer (Chief Executive Officer) evaluates performance and the way we are organized internally, we report our activities in two business segments:  Aviation Services comprised of supply chain and maintenance, repair and overhaul (“MRO”) activities and Expeditionary Services comprised of airlift and mobility activities.

 

The Aviation Services segment consists of businesses that provide spares and maintenance support for aircraft operated by our commercial and government/defense customers.  Sales in the Aviation Services segment are derived from the sale and lease of a wide variety of new, overhauled and repaired engine and airframe parts and components to the commercial aviation and government and defense markets.  We provide customized inventory supply chain management, performance based logistics programs, aircraft component repair management services, and aircraft modifications.  The segment also includes repair, maintenance and overhaul of aircraft, landing gear and components.  We also sell and lease used commercial aircraft (exclusively through joint ventures following the sale of our last two wholly-owned aircraft in the fourth quarter of fiscal 2015).  Cost of sales consists principally of the cost of product, direct labor, and overhead.

 

The Expeditionary Services segment consists of businesses that provide products and services supporting the movement of equipment and personnel by the U.S. Department of Defense (“DoD”), foreign governments and non-governmental organizations.  Sales in the Expeditionary Services segment are derived from the delivery of airlift services to mostly government and defense customers and the design and manufacture of pallets, shelters, and containers used to support the U.S. military’s requirements for a mobile and agile force.  We also provide system integration services for specialized command and control systems.  Cost of sales consists principally of aircraft maintenance costs, depreciation, the cost of material to manufacture products, direct labor and overhead.

 

The accounting policies for the segments are the same as those described in Note 1 of Notes to Consolidated Financial Statements included in our annual report on Form 10-K for the year ended May 31, 2015.  Our chief operating decision making officer evaluates performance based on the reportable segments and utilizes gross profit as a primary profitability measure.  Gross profit is calculated by subtracting cost of sales from sales.

 

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Table of Contents

 

AAR CORP. and Subsidiaries

Notes to Condensed Consolidated Financial Statements

August 31, 2015

(Unaudited)

(Dollars in millions, except per share amounts)

 

The assets and certain expenses related to corporate activities are not allocated to the segments.  Our reportable segments are aligned principally around differences in products and services.

 

Selected financial information for each segment is as follows:

 

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Net sales:

 

 

 

 

 

Aviation Services

 

$

315.8

 

$

311.6

 

Expeditionary Services

 

62.0

 

83.5

 

 

 

$

377.8

 

$

395.1

 

 

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Gross profit:

 

 

 

 

 

Aviation Services

 

$

49.9

 

$

48.2

 

Expeditionary Services

 

4.6

 

14.2

 

 

 

$

54.5

 

$

62.4

 

 

The following table reconciles segment gross profit to income from continuing operations before provision for income taxes.

 

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Segment gross profit

 

$

54.5

 

$

62.4

 

Selling, general and administrative

 

(39.4

)

(38.5

)

Earnings (Loss) from joint ventures

 

(0.3

)

0.6

 

Loss on extinguishment of debt

 

(0.3

)

 

Interest expense

 

(2.0

)

(6.4

)

Interest income

 

0.1

 

0.1

 

Income from continuing operations before provision for income taxes

 

$

12.6

 

$

18.2

 

 

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Table of Contents

 

Item 2 — Management’s Discussion and Analysis of Financial Condition and Results of Operations

(Dollars in millions)

 

General Overview

 

Upon completing our annual strategic review process and assessing our markets, we entered fiscal 2015 with a mission to narrow our focus, excel as an independent services provider to the global commercial aviation and government and defense markets, strengthen our balance sheet, and improve shareholder return.  The comprehensive plan included exploring selling certain manufacturing businesses and as fiscal 2015 progressed included a review of our underperforming product lines and inventories in our services businesses to determine which product areas to focus on going forward.

 

In the first phase of our transformation, we sold the Telair Cargo Group for total proceeds of $733 million including contingent consideration received in the first quarter of fiscal 2016 of $28 million.  We also discontinued our PSM businesses in fiscal year 2015 and expect to sell them in fiscal year 2016.  In phase two, we used a portion of the Telair proceeds to improve our capital structure through the return of $152 million to shareholders from shares repurchases and the redemption of our Senior Notes for $370.6 million to reduce our annual interest expense in fiscal 2015.  In phase three also in fiscal 2015, we streamlined our remaining businesses, including realigning the Company’s corporate office, reducing overhead expenses, and consolidating our airframe maintenance, repair, and overhaul business through the closure of our Hot Springs, Arkansas facility.  During phase four, we expect to use our strengthened balance sheet to grow our remaining industry-leading businesses in fiscal year 2016.

 

We report our activities in two business segments:  Aviation Services comprised of supply chain and MRO activities and Expeditionary Services comprised of airlift and mobility activities.

 

The Aviation Services segment consists of businesses that provide spares and maintenance support for aircraft operated by our commercial and government/defense customers.  Sales in the Aviation Services segment are derived from the sale and lease of a wide variety of new, overhauled and repaired engine and airframe parts and components to the commercial aviation and government and defense markets.  We provide customized inventory supply chain management, performance based logistics programs, aircraft component repair management services, and aircraft modifications.  The segment also includes repair, maintenance and overhaul of aircraft, landing gear and components.  We also sell and lease used commercial aircraft (exclusively through joint ventures following the sale of our last two wholly-owned aircraft in the fourth quarter of fiscal 2015).  Cost of sales consists principally of the cost of product, direct labor, and overhead.

 

The Expeditionary Services segment consists of businesses that provide products and services supporting the movement of equipment and personnel by the U.S. DoD, foreign governments and non-governmental organizations.  Sales in the Expeditionary Services segment are derived from the delivery of airlift services to mostly government and defense customers and the design and manufacture of pallets, shelters, and containers used to support the U.S. military’s requirements for a mobile and agile force.  We also provide system integration services for specialized command and control systems.  Cost of sales consists principally of aircraft maintenance costs, depreciation, the cost of material to manufacture products, direct labor and overhead.

 

The Telair Cargo Group and PSM businesses have been reported as discontinued operations for all periods presented.

 

The accounting policies for the segments are the same as those described in Note 1 of Notes to Consolidated Financial Statements included in our annual report on Form 10-K for the year ended May 31, 2015.  Our chief operating decision making officer (Chief Executive Officer) evaluates performance based on the reportable segments and utilizes gross profit as a primary profitability measure.  Gross profit is calculated by subtracting cost of sales from sales.  The assets and certain expenses related to corporate activities are not allocated to the segments.  Our reportable segments are aligned principally around differences in products and services.

 

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Table of Contents

 

Results of Operations

 

Three Month Period Ended August 31, 2015

 

Sales and gross profit for our two business segments for the quarters ended August 31, 2015 and 2014 were as follows:

 

 

 

Three Months Ended August 31,

 

 

 

2015

 

2014

 

% Change

 

Sales:

 

 

 

 

 

 

 

Aviation Services

 

 

 

 

 

 

 

Commercial

 

$

226.7

 

$

236.5

 

(4.1

)%

Defense

 

89.1

 

75.1

 

18.6

%

 

 

$

315.8

 

$

311.6

 

1.3

%

Expeditionary Services

 

 

 

 

 

 

 

Commercial

 

$

2.1

 

$

1.9

 

10.5

%

Defense

 

59.9

 

81.6

 

(26.6

)%

 

 

$

62.0

 

$

83.5

 

(25.7

)%

 

 

 

Three Months Ended August 31,

 

 

 

2015

 

2014

 

% Change

 

Gross Profit:

 

 

 

 

 

 

 

Aviation Services

 

 

 

 

 

 

 

Commercial

 

$

34.6

 

$

36.6

 

(5.5

)%

Defense

 

15.3

 

11.6

 

31.9

%

 

 

$

49.9

 

$

48.2

 

3.5

%

Expeditionary Services

 

 

 

 

 

 

 

Commercial

 

$

0.1

 

$

0.1

 

 

Defense

 

4.5

 

14.1

 

(68.1

)%

 

 

$

4.6

 

$

14.2

 

(67.6

)%

 

Aviation Services Segment

 

Sales in the Aviation Services segment increased $4.2 million or 1.3% over the prior year period due to a $14.0 million or 18.6% increase in sales to government and defense customers.  The increase in sales to government and defense customers was primarily attributable to higher volumes in distribution of $9.1 million over the prior year period from the new contract wins announced in the second half of fiscal 2014.  In addition, sales increased $8.3 million related to a defense-related supply program as it experienced higher flight hours in the first quarter of fiscal 2016.

 

During the first quarter of fiscal 2016, sales in this segment to commercial customers decreased $9.8 million or 4.1% from the prior year period.  The decrease was primarily due to lower demand in aftermarket parts trading of $20.3 million partially offset by higher volumes in commercial distribution which increased $6.6 million.  The sales increase in distribution was primarily related to a new consumable and expendable distribution contract announced in the second half of fiscal 2014.  Higher MRO sales of $4.6 million also helped to offset the sales decrease in aftermarket parts trading.

 

Gross profit in the Aviation Services segment increased $1.7 million or 3.5% over the prior year period.  Gross profit on sales to government and defense customers increased $3.7 million or 31.9% over the prior year with the defense-related program discussed above contributing the majority of the increase.  Gross profit margin increased from 15.4% to 17.2% primarily due to these increased volumes.

 

Gross profit on sales to commercial customers decreased $2.0 million or 5.5% from the prior year period primarily driven by the lower volumes in aftermarket parts trading.  The gross profit margin on sales to commercial customers decreased slightly from 15.5% to 15.3% primarily as a result of the reduced volumes in aftermarket parts trading.

 

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Table of Contents

 

Expeditionary Services Segment

 

Sales in the Expeditionary Services segment decreased $21.5 million or 25.7% from the prior year period.  Sales declined $12.8 million due to lower demand for mobility products as the DoD reduced its purchases of these products due to reduced troop activity.  The remainder of the decrease in sales in the Expeditionary Services segment was attributable to expeditionary airlift services which experienced a reduction in aircraft positions in Afghanistan as a result of the troop drawdown.

 

Gross profit in the Expeditionary Services segment decreased $9.6 million or 67.6% with expeditionary airlift services comprising $8.1 million of the decrease in gross profit.  The lower sales volumes at mobility products contributed the remainder of the gross profit decrease.  The gross profit margin decreased to 7.4% in fiscal 2016 from 17.0% in the prior year period.

 

Selling, General and Administrative Expenses and Earnings from Aircraft Joint Ventures

 

Selling, general and administrative expenses increased $0.9 million in fiscal 2016 reflecting increased legal expenses partially offset by the realization of benefits from the cost control measures implemented by the Company during fiscal 2015.

 

Earnings from aircraft joint ventures decreased $0.9 million reflecting lower lease revenue from our joint ventures.

 

Interest Expense

 

Interest expense decreased $4.4 million in fiscal 2016 compared to the prior year period primarily as a result of the redemption of our $325 million 7.25% Senior Notes in the fourth quarter of fiscal 2015.

 

Income Taxes

 

Our effective income tax rate for continuing operations was 34.9% for the three month period ended August 31, 2015 compared to 35.2% in the prior year period.

 

Liquidity, Capital Resources and Financial Position

 

Our operating activities are funded and commitments met principally through the generation of cash from operations and borrowings against our unsecured credit facility.  Periodically, we may raise capital through the issuance of common stock and debt financing in the public and private markets.  We continually evaluate various financing arrangements, including the issuance of common stock or debt, which would allow us to improve our liquidity position and finance future growth on commercially reasonable terms. Our continuing ability to borrow from our lenders and issue debt and equity securities to the public and private markets in the future may be negatively affected by a number of factors, including the overall health of the credit markets, general economic conditions, airline industry conditions, geo-political events, and our operating performance.  Our ability to generate cash from operations is influenced primarily by our operating performance and changes in working capital.

 

At August 31, 2015, our liquidity and capital resources included cash of $28.7 million and working capital of $619.2 million.

 

On March 24, 2015, we entered into an amendment to our Credit Agreement dated April 12, 2011, as amended, with various financial institutions, as lenders and Bank of America, N.A., as administrative agent for the lenders.  The amended Credit Agreement includes an aggregate revolving credit commitment of $500 million and provides that the Company, under certain circumstances, may request an increase to the revolving credit commitment by an aggregate amount of up to $250 million, not to exceed $750 million in total.  The Credit Agreement matures March 24, 2020.

 

Borrowings under the amended Credit Agreement bear interest at the offered Eurodollar Rate plus 100 to 200 basis points based on certain financial measurements if a Eurodollar Rate loan, or at the offered fluctuating Base Rate plus 0 to 100 basis points based on certain financial measurements if a Base Rate loan.

 

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Table of Contents

 

Borrowings outstanding under the Credit Agreement at August 31, 2015 were $105.0 million and there were approximately $13.5 million of outstanding letters of credit, which reduced the availability of this facility to $381.5 million. There are no other terms or covenants limiting the availability of this facility. We also had $2.8 million available under a foreign line of credit at August 31, 2015.

 

We intend to retire current maturities of $44.5 million through a combination of cash on hand and borrowings under our Credit Agreement.

 

We are in compliance with all financial and other covenants under each of our financing arrangements.

 

Cash Flows from Operating Activities

 

Net cash used in operating activities—continuing operations was $65.4 million in the three month period ended August 31, 2015 compared to cash provided of $16.8 million in the prior year period.  The decrease from the prior period of $82.2 million was primarily attributable to increases in both accounts receivable and inventory over the prior period.

 

This use of cash of $65.4 million in the three month period ended August 31, 2015 was primarily due to increases in accounts receivable and inventory of $41.5 million and $22.2 million, respectively.  The accounts receivable increase was primarily attributable to an increase of $17.1 million in MRO due to customer invoice timing and an increase of $9.1 million in expeditionary airlift services due to higher sales in the first quarter of fiscal 2016 versus the fourth quarter of fiscal 2015.  Inventories increased $10.1 million in distribution due to continued investment to support new contract wins announced in the second half of fiscal 2014.  Inventories also increased $10.1 million in aftermarket parts trading reflecting lower than expected market-wide demand.

 

Cash Flows from Investing Activities

 

Net cash used in investing activities—continuing operations was $6.0 million during the three month period ended August 31, 2015 compared to a use of cash of $8.9 million in the prior year period.  The decrease of $2.9 million over the prior period was primarily attributable to proceeds received in fiscal 2016 from aircraft disposals partially offset by additional capital expenditures in fiscal 2016 primarily in expeditionary airlift services.

 

Net cash provided from investing activities—discontinued operations was $27.3 million during the three month period ended August 31, 2015 which included $28.3 of proceeds from contingent consideration from our sale of Telair Cargo Group.

 

Cash Flows from Financing Activities

 

Net cash provided from financing activities—continuing operations was $16.3 million during the three month period ended August 31, 2015 compared to a use of cash of $11.0 million in the prior year period.  The increase of $27.3 million was primarily attributable to increased net borrowings in the three month period ended August 31, 2015 partially offset by $7.1 million of treasury stock purchases in fiscal 2016 compared to no treasury stock purchases in the prior year period.

 

Critical Accounting Policies and Significant Estimates

 

We make a number of significant estimates, assumptions and judgments in the preparation of our financial statements.  See Management’s Discussion and Analysis of Financial Condition and Results of Operations in our 2015 Form 10-K for a discussion of our critical accounting policies.  There have been no significant changes to the application of our critical accounting policies during the first quarter of fiscal 2016.

 

Forward-Looking Statements

 

This report contains certain forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995.  These forward-looking statements are based on beliefs of our management, as well as assumptions and estimates based on information available to us as of the dates such assumptions and estimates are made, and are subject to certain risks and uncertainties that could cause actual results to differ materially from historical results or those anticipated, depending on a variety of factors, including those factors

 

20



Table of Contents

 

set forth under Part I, Item 1A in our Annual Report on Form 10-K for the year ended May 31, 2015.  Should one or more of those risks or uncertainties materialize adversely, or should underlying assumptions or estimates prove incorrect, actual results may vary materially from those described.  Those events and uncertainties are difficult or impossible to predict accurately and many are beyond our control.  We assume no obligation to update any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events.

 

Item 3 — Quantitative and Qualitative Disclosures About Market Risk

 

Our exposure to market risk includes fluctuating interest rates under our credit agreements, changes in foreign exchange rates, and credit losses on accounts receivable.  See Note 1 of Notes to Consolidated Financial Statements in our Annual Report on Form 10-K for a discussion on accounts receivable exposure.

 

Foreign Currency Risk.  Revenues and expenses of our foreign operations are translated at average exchange rates during the period, and balance sheet accounts are translated at period-end exchange rates.  Balance sheet translation adjustments are excluded from the results of operations and are recorded in stockholders’ equity as a component of accumulated other comprehensive loss.  On March 26, 2015, we sold our Telair Cargo Group which comprised the majority of our foreign operations and as a result, a hypothetical 10 percent devaluation of the U.S. dollar against foreign currencies would not have had a material impact on our financial position or continuing operations.

 

Interest Rate Risk.  Refer to the section Quantitative and Qualitative Disclosures about Market Risk in our Annual Report on Form 10-K for the year ended May 31, 2015.  There were no significant changes during the quarter ended August 31, 2015.

 

Item 4 — Controls and Procedures

 

As required by Rules 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, we conducted an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures as of August 31, 2015.  This evaluation was carried out under the supervision and with participation of our Chief Executive Officer and Chief Financial Officer.  There are inherent limitations to the effectiveness of any system of disclosure controls and procedures.  Therefore, effective disclosure controls and procedures can only provide reasonable assurance of achieving their control objectives.  Based upon our evaluation, our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures are effective as of August 31, 2015, ensuring that information required to be disclosed in the reports that are filed under the Securities Exchange Act of 1934 is recorded, processed, summarized, and reported in a timely manner.

 

There were no changes in our internal control over financial reporting during the first quarter ended August 31, 2015 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

 

21



Table of Contents

 

PART II — OTHER INFORMATION

 

Item 1 — Legal Proceedings

 

On September 8, 2015, AAR Airlift Group, Inc., a wholly-owned subsidiary of AAR CORP. located in Palm Bay, Florida, was served with a lawsuit filed on September 4, 2015 by DynCorp International LLC in the United States District Court for the Middle District of Florida, Orlando Division.   DynCorp’s lawsuit alleges that AAR Airlift misappropriated proprietary DynCorp information, including trade secrets, in connection with the submission of proposals pursuant to a solicitation issued by the Department of State Bureau of International Narcotics and Law Enforcement Affairs, Office of Aviation (“INL/A”) in support of State’s Worldwide Aviation Support Services (“WASS”) program. The lawsuit contains seven counts and seeks unspecified actual and compensatory damages, as well as preliminary and permanent injunctive relief against AAR Airlift’s purported misappropriation of DynCorp information.

 

AAR Airlift categorically denies the allegations in the DynCorp lawsuit and believes the lawsuit is entirely without merit.  AAR Airlift further believes the lawsuit is the latest tactic employed by DynCorp in an orchestrated campaign to delay and/or upset the awarding of the INL/A contract.  Subsequent to the submission of proposals by each of AAR Airlift and DynCorp for the INL/A contract in October 2014, DynCorp took the following actions: (i) on February 12, 2015, DynCorp filed a protest with the U.S. Government Accountability Office (“GAO”), arguing against the Department of State’s January 28, 2015 decision to exclude DynCorp’s proposal from the competitive range established by State for this bidding process and subsequently supplemented its protest with additional allegations and arguments against State’s decision, (ii) on May 4, 2015, DynCorp sent a letter directly to the Department of State making substantially the same allegations against AAR Airlift that are now set forth in its lawsuit and (iii) on May 7, 2015, DynCorp filed another protest with the GAO, this one seeking to disqualify AAR Airlift from the INL/A contract competition based on the allegations that DynCorp itself made in its May 4, 2015 letter to State.

 

Based on DynCorp’s allegations in its May 4, 2015, letter to the Department of State — allegations that AAR Airlift categorically denies — the Department of State referred the matter to its Office of Inspector General for investigation.  That investigation is currently ongoing.

 

AAR Airlift will vigorously defend against DynCorp’s lawsuit and against all attempts to invalidate AAR Airlift’s lawful participation in the INL/A contract award competition.

 

Item 1A — Risk Factors

 

There have been no material changes to our risk factors as set forth in our Annual Report on Form 10-K for the year ended May 31, 2015.

 

Item 2 — Unregistered Sales of Equity Securities and Use of Proceeds

 

(c)          The following table provides information about purchases we made during the quarter ended August 31, 2015 of equity securities that are registered by us pursuant to Section 12 of the Exchange Act:

 

Period

 

Total Number
of Shares
Purchased (1)

 

Average
Price Paid per
Share (1)

 

Total Number
of Shares
Purchased as
Part of Publicly
Announced
Plans or
Programs (2)

 

Approximate
Dollar Value of
Shares that May
Yet Be
Purchased
Under the Plans
or Programs (2)

 

6/1/2015 — 6/30/2015

 

 

$

 

 

 

 

7/1/2015 — 7/31/2015

 

160,728

 

29.54

 

 

 

 

8/1/2015 — 8/31/2015

 

298,986

 

23.82

 

298,961

 

 

 

Total

 

459,714

 

$

25.82

 

298,961

 

$

94,216,941

 

 


(1)    These amounts include share repurchases pursuant to our stock repurchase plan and shares repurchased related to restricted stock grants.

 

(2)    On March 16, 2015, we announced a new Board of Directors authorization to purchase up to $250 million of our common stock with no expiration date.

 

Item 6 — Exhibits

 

The exhibits to this report are listed on the Exhibit Index included elsewhere herein.  Management contracts and compensatory arrangements, if any, have been marked with an asterisk (*) on the Exhibit Index.

 

22



Table of Contents

 

SIGNATURE

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

 

 

 

AAR CORP.

 

 

(Registrant)

 

 

 

 

 

 

Date:

September 25, 2015

 

/s/ JOHN C. FORTSON

 

 

John C. Fortson

 

 

Vice President, Chief Financial Officer and Treasurer

 

 

(Principal Financial Officer and officer duly

 

 

authorized to sign on behalf of registrant)

 

 

 

 

 

 

 

 

/s/ MICHAEL J. SHARP

 

 

Michael J. Sharp

 

 

Vice President, Controller and Chief Accounting Officer

 

 

(Principal Accounting Officer)

 

23



Table of Contents

 

EXHIBIT INDEX

 

Exhibit
No.

 

Description

 

 

 

Exhibits

 

 

 

 

 

 

 

10.

 

Material Contracts

 

10.1*

 

AAR CORP. Fiscal 2016 Short-Term Incentive Plan (filed herewith).

 

 

 

 

 

 

 

31.

 

Rule 13a-14(a)/15(d)-14(a) Certifications

 

31.1

 

Section 302 Certification dated September 25, 2015 of David P. Storch, Chairman and Chief Executive Officer of Registrant (filed herewith).

 

 

 

 

 

 

 

 

 

 

 

31.2

 

Section 302 Certification dated September 25, 2015 of John C. Fortson, Vice President, Chief Financial Officer and Treasurer of Registrant (filed herewith).

 

 

 

 

 

 

 

32.

 

Section 1350 Certifications

 

32.1

 

Section 906 Certification dated September 25, 2015 of David P. Storch, Chairman and Chief Executive Officer of Registrant (filed herewith).

 

 

 

 

 

 

 

 

 

 

 

32.2

 

Section 906 Certification dated September 25, 2015 of John C. Fortson, Vice President, Chief Financial Officer and Treasurer of Registrant (filed herewith).

 

 

 

 

 

 

 

101.

 

Interactive Data File

 

101

 

The following materials from the Registrant’s Quarterly Report on Form 10-Q for the quarter ended August 31, 2015, formatted in XBRL (eXtensible Business Reporting Language): (i) Condensed Consolidated Balance Sheets at August 31, 2015 and May 31, 2015, (ii) Condensed Consolidated Statements of Income for the three months ended August 31, 2015 and 2014, (iii) Condensed Consolidated Statements of Comprehensive Income for the three months ended August 31, 2015 and 2014, (iv)  Condensed Consolidated Statements of Cash Flows for the three months ended August 31, 2015 and 2014, (v) Condensed Consolidated Statement of Changes in Equity for the three months ended August 31, 2015 and (vi) Notes to Condensed Consolidated Financial Statements.**

 


**          Pursuant to Rule 406T of Regulation S-T, the Interactive Data Files on Exhibit 101 hereto are deemed not filed or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, are deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and otherwise are not subject to liability under those sections.

 

24


EX-10.1 2 a15-18946_1ex10d1.htm EX-10.1

Exhibit 10.1

 

AAR CORP. Fiscal 2016 Short-Term Incentive Plan

 

1.                                      Purpose.

 

The purpose of the AAR CORP. 2016 Short-Term Incentive Plan (“STIP”) is to provide an incentive for selected senior executives of AAR CORP. (the “Company”) and its subsidiaries to achieve the Company’s short-term performance goals by providing them with an annual cash incentive payment based on the financial and operating success of the Company.

 

2.                                      Definitions.

 

(a)                                 “Board” means the Board of Directors of the Company.

 

(b)                                 “Bonus” means the annual cash incentive paid to a Participant under this STIP for a fiscal year of the Company.

 

(c)                                  “Cause” means the Participant’s unsatisfactory performance or conduct detrimental to the Company and its subsidiaries, as solely determined by the Company.

 

(d)                                 “Code” means the Internal Revenue Code of 1986, as amended.

 

(e)                                  “Committee” means the Compensation Committee of the Board, or if the Committee is not comprised of “outside directors” as defined in Section 162(m) of the Code, then by a subset of the Committee comprised of at least two “outside directors” (the “Committee”).

 

(f)                                   “Company” means AAR CORP.

 

(g)                                  “Disability” means the inability of the Participant to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment which can be expected to result in death or which has lasted or can be expected to last for a continuous period of not less than 12 months.

 

(h)                                 “Earnings Per Share” means diluted earnings per share (including earnings from both continued and discontinued operations) as disclosed by the Company in its periodic reports filed with the Securities and Exchange Commission, excluding special charges or unusual or infrequent items incurred during the performance period, and as adjusted for changes in generally accepted accounting principles.

 

(i)                                     “Participant” means any active executive of the Company or subsidiary who has been selected by the Committee as eligible to earn a Bonus under the STIP.

 

(j)                                    “Retirement” means the Participant’s voluntary termination of his employment, or his termination of employment by the Company or a subsidiary without Cause, when he has (i) attained age 65 or (ii) attained age 55 and his age plus the number of his consecutive years of service with the Company and subsidiaries is at least 75.

 

(k)                                 “Salary” means a Participant’s base annual salary earned during a fiscal year of the Company while a Participant.

 



 

(l)                                     “STIP” means this AAR CORP. 2016 Short-Term Incentive Plan.

 

(m)                             “Working Capital Turns” means net sales divided by average working capital, where working capital is defined as net accounts receivable plus net inventories minus accounts payable, excluding special charges or unusual or infrequent items incurred during the performance period, and as adjusted for changes in generally accepted accounting principles.

 

3.                                      Administration.

 

The STIP shall be administered by the Committee.  The Committee has full authority to select the senior executives eligible to participate in the STIP and determine when the senior executive’s participation in the STIP will begin and end.  Subject to the express provisions of the STIP, the Committee shall be authorized to interpret the STIP and to establish, amend and rescind any rules and regulations relating to the STIP and to make all other determinations deemed necessary or advisable for the proper administration of the STIP.  The determinations of the Committee in the proper administration of the STIP shall be conclusive and binding.

 

4.                                      Eligibility and Participation.

 

Participation in the STIP is limited to those senior executives of the Company or a subsidiary who the Committee designates as Participants.  When the Committee selects an executive to become a Participant under the STIP, it shall designate the date as of which the executive’s participation shall begin.

 

5.                                      Annual Bonus Awards.

 

(a)                                 Determination of Participants, Performance Goals and Target Bonus Amounts. On or before August 29, 2015, the Committee shall (i) determine the Participants for such fiscal year, (ii) establish threshold, target and maximum Earnings Per Share and Working Capital Turns performance goals for such fiscal year, and (iii) approve the target Bonus payment for each Participant expressed as a percentage of the Participant’s Salary.

 

(b)                                 Bonus Payment.  As soon as reasonably practicable after the end of the fiscal year ending May 31, 2016, the Committee shall determine the extent to which each of the Earnings Per Share and Working Capital Turns targets were attained for such fiscal year.  The Bonus payable to each Participant will be equal to the sum of (i) 80% of the Participant’s target Bonus multiplied by the applicable Earnings Per Share Multiplier Percentage and (ii) 20% of the Participant’s target Bonus multiplied by the Working Capital Turns Multiplier Percentage (except for such lower amounts as otherwise determined by the Committee):

 

Earnings Per Share (80%)

 

Working Capital Turns (20%)

 

Performance
Achievement Level

 

Multiplier
Percentage

 

Performance
Achievement Level

 

Multiplier
Percentage

 

Threshold

 

50

%

Threshold

 

50

%

Target

 

100

%

Target

 

100

%

Maximum

 

250

%

Maximum

 

250

%

 

For achievement of Earnings Per Share and Working Capital Turns targets between established performance achievement levels, the Multiplier Percentage will be interpolated on a straight-line basis.

 

2



 

6.                                      STIP Limitations.

 

Notwithstanding Section 5, (a) the Committee retains full discretion to determine whether any Bonus will be payable for the fiscal year ending May 31, 2016, regardless of performance results and (b) no Bonus shall be paid under the STIP for a fiscal year to a Participant whose employment with the Company and all subsidiaries terminates during such fiscal year unless the termination is due to death, Disability or Retirement, or as otherwise approved by the Committee.  If the Participant terminates during the fiscal year due to death, Disability or Retirement, the Participant shall be entitled to a pro rata portion of the Bonus the Participant would have earned under the STIP had the Participant remained employed through the end of the fiscal year.  Such Bonus will be paid at the same time Bonuses are paid to active Participants.

 

Notwithstanding Section 5, no Bonus will be payable for the fiscal year ending May 31, 2016 if net income (as determined in accordance with generally accepted accounting principles) for such fiscal year is not positive.

 

7.                                      Payment of Bonuses.

 

A Participant’s Bonus for the fiscal year ending May 31, 2016 shall be paid in cash to the Participant, or to the Participant’s beneficiary (or beneficiaries) in the event of the Participant’s death, within three months after the end of such fiscal year, unless the Participant has previously elected to have all or a portion of the Bonus deferred in accordance with the AAR CORP. Supplemental Key Executive Retirement Plan.  The Company shall deduct all taxes required by law to be withheld from all Bonus payments.

 

8.                                      No Assignment.

 

Except in the event of a Participant’s death, the rights and interests of a Participant under the STIP shall not be assigned, encumbered or transferred.

 

9.                                      Termination of Participation.

 

The Committee reserves the right to cancel a Participant’s participation in the STIP at any time.

 

10.                               Employment Rights.

 

Nothing contained in the STIP shall be construed as conferring a right upon any employee to continue in the employment of the Company or any subsidiary.

 

11.                               Amendment/Termination.

 

The Board may either amend or terminate the STIP at any time, without the consent of the Participants and without the approval of the stockholders of the Company; provided, that such modification or elimination shall not affect the obligation of the Company to pay any Bonus after it has been earned under the STIP.

 

3


EX-31.1 3 a15-18946_1ex31d1.htm EX-31.1

Exhibit 31.1

 

SECTION 302

CERTIFICATION

 

I, David P. Storch, certify that:

 

1.              I have reviewed this quarterly report on Form 10-Q of AAR CORP. (the “Registrant”) for the quarterly period ending August 31, 2015;

 

2.              Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

3.              Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the Registrant as of, and for, the periods presented in this report;

 

4.              The Registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the Registrant and have:

 

a)             Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

b)             Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 

c)              Evaluated the effectiveness of the Registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

d)             Disclosed in this report any change in the Registrant’s internal control over financial reporting that occurred during the Registrant’s most recent fiscal quarter (the Registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting; and

 

5.              The Registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the Registrant’s auditors and the audit committee of the Registrant’s board of directors (or persons performing the equivalent functions):

 

a)             All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Registrant’s ability to record, process, summarize and report financial information; and

 

b)             Any fraud, whether or not material, that involves management or other employees who have a significant role in the Registrant’s internal control over financial reporting.

 

DATE:  September 25, 2015

 

 

/s/ DAVID P. STORCH

 

David P. Storch

 

Chairman and Chief Executive Officer

 


EX-31.2 4 a15-18946_1ex31d2.htm EX-31.2

Exhibit 31.2

 

SECTION 302

CERTIFICATION

 

I, John C. Fortson, certify that:

 

1.              I have reviewed this quarterly report on Form 10-Q of AAR CORP. (the “Registrant”) for the quarterly period ending August 31, 2015;

 

2.              Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

3.              Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the Registrant as of, and for, the periods presented in this report;

 

4.              The Registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the Registrant and have:

 

a)             Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the Registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

b)             Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 

c)              Evaluated the effectiveness of the Registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

d)             Disclosed in this report any change in the Registrant’s internal control over financial reporting that occurred during the Registrant’s most recent fiscal quarter (the Registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the Registrant’s internal control over financial reporting; and

 

5.              The Registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the Registrant’s auditors and the audit committee of the Registrant’s board of directors (or persons performing the equivalent functions):

 

a)             All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the Registrant’s ability to record, process, summarize and report financial information; and

 

b)             Any fraud, whether or not material, that involves management or other employees who have a significant role in the Registrant’s internal control over financial reporting.

 

DATE:  September 25, 2015

 

/s/ JOHN C. FORTSON

 

John C. Fortson

 

Vice President, Chief Financial Officer and Treasurer

 


EX-32.1 5 a15-18946_1ex32d1.htm EX-32.1

Exhibit 32.1

 

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

 

In connection with the AAR CORP. (the “Company”) quarterly report on Form 10-Q for the period ending August 31, 2015 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, David P. Storch, Chairman and Chief Executive Officer of the Company, certify pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to the best of my knowledge:

 

1.                                      The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

 

2.                                      The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

 

 

Date:  September 25, 2015

 

/s/ DAVID P. STORCH

 

David P. Storch

 

Chairman and Chief Executive Officer

 


EX-32.2 6 a15-18946_1ex32d2.htm EX-32.2

Exhibit 32.2

 

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

 

In connection with the AAR CORP. (the “Company”) quarterly report on Form 10-Q for the period ending August 31, 2015 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, John C. Fortson, Vice President, Chief Financial Officer and Treasurer of the Company, certify pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to the best of my knowledge:

 

1.                                      The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and

 

2.                                      The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

 

 

Date:  September 25, 2015

 

/s/ JOHN C. FORTSON

 

John C. Fortson

 

Vice President, Chief Financial Officer and Treasurer

 


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27700000 80200000 82100000 110700000 111600000 -100000 -100000 0 57500000 18200000 12600000 11600000 8000000 11600000 8000000 600000 -300000 -13200000 -25400000 7100000 4200000 -200000 700000 2700000 5900000 11 5 6 10 5 5 2 24500000 14800000 68300000 76000000 200000 200000 2000000 -2000000 <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-weight:bold;font-size:10pt;">Note 3 &#x2014; Revenue Recognition</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Sales and related cost of sales for product sales are recognized upon shipment of the product to the customer.&nbsp;&nbsp;Our standard terms and conditions provide that title passes to the customer when the product is shipped to the customer.&nbsp;&nbsp;Sales of certain defense products are recognized upon customer acceptance, which includes transfer of title.&nbsp;&nbsp;Under the majority of our expeditionary airlift services contracts, we are paid and record as revenue a fixed daily amount per aircraft for each day an aircraft is available to perform airlift services.&nbsp;&nbsp;In addition, we are paid and record as revenue an amount which is based on number of hours flown.&nbsp;&nbsp;Sales from services and the related cost of services are generally recognized when customer-owned material is shipped back to the customer.&nbsp;&nbsp;We have adopted this accounting policy because at the time the customer-owned material is shipped back to the customer; all services related to that material are complete as our service agreements generally do not require us to provide services at customer sites.&nbsp;&nbsp;Furthermore, serviced units are typically shipped to the customer immediately upon completion of the related services.&nbsp;&nbsp;Sales and related cost of sales for certain large airframe maintenance contracts and performance-based logistics programs are recognized by the percentage of completion method, based on the relationship of costs incurred to date to the estimated total costs.&nbsp;&nbsp;Lease revenues are recognized as earned.&nbsp;&nbsp;Income from monthly or quarterly rental payments is recorded in the pertinent period according to the lease agreement.&nbsp;&nbsp;However, for leases that provide variable rents, we recognize lease income on a straight-line basis.&nbsp;&nbsp;In addition to a monthly lease rate, some engine leases require an additional rental amount based on the number of hours the engine is used in a particular month.&nbsp;&nbsp;Lease income associated with these contingent rentals is recorded in the period in which actual usage is reported to us by the lessee, which is normally the month following the actual usage.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Certain supply chain management programs we provide to our customers contain multiple elements or deliverables, such as program and warehouse management, parts distribution, and maintenance and repair services.&nbsp;&nbsp;We recognize revenue for each element or deliverable that can be identified as a separate unit of accounting at the time of delivery based upon the relative fair value of the products and services.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Included in accounts receivable as of August&nbsp;31, 2015 and May&nbsp;31, 2015, are $28.8 million and $21.1 million, respectively, of unbilled accounts receivable related to a defense-related supply program.&nbsp;&nbsp;These unbilled accounts receivable relate to costs we have incurred on parts that were requested and accepted by our customer to support the program.&nbsp;&nbsp;These costs have not been billed by us because the customer has not issued the final paperwork necessary to allow for billing.</font> </p> <p><font size="1"> </font></p> </div> </div> <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;"></font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 100.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Three&nbsp;Months&nbsp;Ended</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2014</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Coupon interest</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.3&nbsp; </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.5&nbsp; </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Amortization of deferred financing fees</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.1&nbsp; </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Amortization of discount</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.6&nbsp; </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.7&nbsp; </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Interest expense related to convertible notes</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.9&nbsp; </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.86%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>1.3&nbsp; </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p><font size="1"> </font></p> </div> </div> false --05-31 Q1 2016 2015-08-31 10-Q 0000001750 35206053 Yes Large Accelerated Filer AAR CORP 142300000 151800000 229000000 270600000 200700000 181800000 200000 398500000 409000000 -29300000 -35400000 -2600000 8700000 -37900000 -35300000 -2300000 -300000 -40400000 -41300000 900000 -40000000 -39100000 -900000 442600000 443900000 700000 1300000 800000 1200000 5800000 4400000 700000 700000 600000 600000 100000 180163 148163 1515000000 1547200000 954100000 997300000 17000000 12200000 89200000 81800000 54700000 28700000 -7400000 -26000000 <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-weight:bold;font-size:10pt;">Note 6 &#x2014; Supplemental Cash Flow Information</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-weight:bold;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;"></font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 96.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:27.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Three&nbsp;Months&nbsp;Ended</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:27.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2014</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Interest paid</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>1.2&nbsp; </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>13.9&nbsp; </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income taxes paid</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>23.5&nbsp; </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>2.6&nbsp; </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income tax refunds received</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>1.1&nbsp; </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>1.3&nbsp; </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p><font size="1"> </font></p> </div> </div> -600000 -1200000 27300000 -1800000 1700000 1.00 1.00 100000000 100000000 44895934 45074491 44900000 45100000 5800000 23300000 100000 5900000 23300000 <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-weight:bold;font-size:10pt;">Note 10 &#x2014; Accumulated Other Comprehensive Loss</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Changes in our accumulated other comprehensive loss (&#x201C;AOCL&#x201D;) by component for the three month periods ended August&nbsp;31, 2015 and 2014 were as follows:</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 100.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:41.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Currency</font><br /><font style="display: inline;font-weight:bold;font-size:8pt;">Translation</font><br /><font style="display: inline;font-weight:bold;font-size:8pt;">Adjustments</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Pensions</font><br /><font style="display: inline;font-weight:bold;font-size:8pt;">Plans</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Derivative</font><br /><font style="display: inline;font-weight:bold;font-size:8pt;">Instruments</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Total</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:41.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Balance at June&nbsp;1, 2015</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.9 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(41.3 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(40.4 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Reclassification within AOCL</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(2.0 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>2.0 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:41.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Other comprehensive income (loss) before reclassifications from AOCL</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.2 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.2 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Amounts reclassified from AOCL</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.2 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.2 </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Total other comprehensive income (loss)</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.2 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.2 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.4 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:41.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Balance at August&nbsp;31, 2015</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(0.9 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(39.1 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(40.0 </td> <td valign="bottom" style="width:01.00%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Balance at June&nbsp;1, 2014</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>8.7 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(35.4 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(2.6 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(29.3 </td> <td valign="bottom" style="width:01.00%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Other comprehensive income before reclassifications</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(9.0 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.3 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(8.7 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Amounts reclassified from AOCL</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.1 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.1 </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Total other comprehensive income (loss)</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(9.0 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.1 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.3 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(8.6 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Balance at August&nbsp;31, 2014</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(0.3 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(35.3 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(2.3 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.86%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(37.9 </td> <td valign="bottom" style="width:01.00%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p><font size="1"> </font></p> </div> </div> 194300000 169800000 138400000 153500000 371200000 362700000 69000000 44500000 <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-weight:bold;font-size:10pt;">Note 7 &#x2014; Financing Arrangements</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">A summary of the carrying amount of our debt is as follows:</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 100.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">May&nbsp;31,</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Revolving Credit Facility expiring March&nbsp;24, 2020 with interest payable monthly</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>105.0 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>50.0 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Industrial revenue bond (secured by property, plant and equipment) due August&nbsp;1, 2018 with interest payable monthly</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>25.0 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>25.0 </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Note payable due March&nbsp;9, 2017 with floating interest rate, payable semi-annually on June&nbsp;1 and December&nbsp;1</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>15.0 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>20.0 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Convertible notes payable due March&nbsp;1, 2016 with interest at 2.25% payable semi-annually on March&nbsp;1 and September&nbsp;1</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>34.5 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>48.0 </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Mortgage loan (secured by Wood Dale,&nbsp;Illinois facility) due August&nbsp;1, 2015</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>11.0 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Total debt</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>179.5 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>154.0 </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Current maturities of debt</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(44.5 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(69.0 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Long-term debt</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>135.0 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.86%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>85.0 </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:27.5pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">At August&nbsp;31, 2015, the carrying value of our 2.25% convertible notes was $34.5 million and the estimated fair value was approximately $35.5 million.&nbsp; The 2.25% convertible notes are classified as Level 2 in the fair value hierarchy.&nbsp; This classification is defined as a fair value determined using market-based inputs other than quoted prices that are observable for the liability, either directly or indirectly.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">At August&nbsp;31, 2015, the remaining variable rate and fixed rate debt had a fair value that approximates the carrying value of $145.0 million.&nbsp; These debt instruments are classified as Level 3 in the fair value hierarchy which is defined as a fair value determined based upon one or more significant unobservable inputs.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">We are subject to a number of covenants under our financing arrangements, including restrictions that relate to the payment of cash dividends, maintenance of debt-to-EBITDA and interest coverage ratios, sales of assets, additional financing, purchase of our shares and other matters.&nbsp;&nbsp;We are in compliance with all financial and other covenants under our financing arrangements.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-style:italic;font-size:10pt;">Convertible Notes</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">During the three-month period ended August&nbsp;31, 2015, we repurchased $14.4 million of our outstanding 2.25% convertible notes due March&nbsp;1, 2016 for $14.6 million cash including $0.2 million of accrued interest.&nbsp;&nbsp;We recognized a $0.3 million loss on the early extinguishment of the notes.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">The interest expense associated with the convertible notes was as follows:</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 100.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Three&nbsp;Months&nbsp;Ended</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2014</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Coupon interest</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.3&nbsp; </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.5&nbsp; </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Amortization of deferred financing fees</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.1&nbsp; </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Amortization of discount</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.6&nbsp; </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.7&nbsp; </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Interest expense related to convertible notes</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.9&nbsp; </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.86%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>1.3&nbsp; </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p><font size="1"> </font></p> </div> </div> 34500000 0.0225 0.0225 14600000 14400000 154000000 48000000 20000000 25000000 50000000 11000000 179500000 34500000 15000000 25000000 105000000 1200000 -4000000 58300000 58300000 104600000 101100000 13200000 12700000 2600000 <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-weight:bold;font-size:10pt;">Note 8 &#x2014; Derivative Instruments and Hedging Activities</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">We are exposed to interest rate risk associated with fluctuations in interest rates on our variable rate debt.&nbsp;&nbsp;Prior to the fourth quarter of fiscal 2015, we utilized two derivative financial instruments to manage our variable interest rate exposure.&nbsp;&nbsp;We utilized a floating-to-fixed interest rate swap and an interest rate cap agreement with each hedging $50.0 million of notional principal interest under our Revolving Credit Facility.&nbsp;&nbsp;In connection with the Amendment of our Revolving Credit Facility, we settled our floating-to-fixed interest rate swap and interest rate cap agreements in the fourth quarter of fiscal 2015 for approximately $2.6 million.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Prior to the settlement, the derivatives instruments were classified as cash flow hedges with gains and losses on the derivative instruments included in other comprehensive income.&nbsp;&nbsp;We recognized gains and losses on our derivative instruments as an adjustment to interest expense in the period the hedged interest payment affected earnings.</font> </p> <p><font size="1"> </font></p> </div> </div> 50000000 50000000 2 <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-weight:bold;font-size:10pt;">Note 4 &#x2014; Accounting for Stock-Based Compensation</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-style:italic;font-size:10pt;">Restricted Stock</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">In August&nbsp;2015, as part of our annual long-term stock incentive compensation, we granted 109,269 shares of performance-based restricted stock and 28,069 shares of time-based restricted stock to eligible employees.&nbsp;&nbsp;The grant date fair value per share for both grants was $26.62.&nbsp;&nbsp;In June&nbsp;2015, we also granted 45,000 shares of time-based restricted stock to members of the Board of Directors with a grant date fair value per share of $29.54.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Expense charged to operations for restricted stock during the three month periods ended August&nbsp;31, 2015 and 2014 was $1.2 million and $1.3 million, respectively.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-style:italic;font-size:10pt;">Stock Options</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">In August&nbsp;2015, as part of our annual long-term stock incentive compensation, we granted 488,767 stock options to eligible employees at an exercise price of $26.62 and weighted average fair value of $7.48.&nbsp;&nbsp;The fair value of stock options was estimated on the date of grant using the Black-Scholes option pricing model with the following assumptions:</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 78.00%;margin-left:27pt;"> <tr> <td valign="top" style="width:78.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Risk-free interest rate</font></p> </td> <td valign="bottom" style="width:03.20%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:15.30%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>1.6&nbsp; </td> <td valign="bottom" style="width:03.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">%</font></p> </td> </tr> <tr> <td valign="top" style="width:78.50%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Expected volatility of common stock</font></p> </td> <td valign="bottom" style="width:03.20%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:15.30%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>36.1&nbsp; </td> <td valign="bottom" style="width:03.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">%</font></p> </td> </tr> <tr> <td valign="top" style="width:78.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Dividend yield</font></p> </td> <td valign="bottom" style="width:03.20%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:15.30%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>1.1&nbsp; </td> <td valign="bottom" style="width:03.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">%</font></p> </td> </tr> <tr> <td valign="top" style="width:78.50%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Expected option term in years</font></p> </td> <td valign="bottom" style="width:03.20%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:15.30%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>4.2&nbsp; </td> <td valign="bottom" style="width:03.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">The total intrinsic value of stock options exercised during the three month periods ended August&nbsp;31, 2015 and 2014 was $0.8 million and $1.0 million, respectively.&nbsp;&nbsp;Expense charged to operations for stock options during the three month periods ended August&nbsp;31, 2015 and 2014 was $0.8 million and $0.7 million, respectively.&nbsp;&nbsp;No stock options were granted during the three month period ended August&nbsp;31, 2014.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p><font size="1"> </font></p> </div> </div> 198600000 27700000 0.07 0.42 0.07 0.42 61200000 14800000 6400000 1500000 3200000 3300000 3300000 -4900000 -4900000 74100000 11400000 <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-weight:bold;font-size:10pt;">Note 2 &#x2014; Discontinued Operations</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">On March&nbsp;26, 2015, we completed the sale of our Telair Cargo Group to TransDigm,&nbsp;Inc.&nbsp;&nbsp;The Telair Cargo Group was comprised of Telair International, Telair US, and Nordisk Aviation Products.&nbsp;&nbsp;Cash received at closing in the fourth quarter of fiscal 2015 before fees and expenses was $705 million.&nbsp;&nbsp;The sale also allowed for contingent consideration of up to $35 million based on the occurrence of certain post-closing events related to the A400M cargo system.&nbsp;&nbsp;We recognized a pre-tax gain on the sale (net of transaction expenses and fees) of $198.6 million in the fourth quarter of fiscal 2015.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">In the first quarter of fiscal 2016, we recognized a gain of $27.7 million net of expenses representing the resolution of the contingent consideration related to the A400M cargo system.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">During fiscal 2015, we also announced our intention to sell our Precision Systems Manufacturing (&#x201C;PSM&#x201D;) business comprised of our metal and composite machined and fabricated parts manufacturing operations.&nbsp;&nbsp;We recognized impairment charges of $57.5 million during fiscal 2015 to reduce the carrying value of the PSM business&#x2019;s net assets to their expected value at the time of sale.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Telair Cargo Group and PSM are reported as discontinued operations in the Condensed Consolidated Statements of Income for all periods presented.&nbsp;&nbsp;Interest expense allocated to discontinued operations was $0 million and $2.9 million during the three months ended August&nbsp;31, 2015 and 2014, respectively.&nbsp;&nbsp;No amounts for general corporate overhead were allocated to discontinued operations.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Liabilities of discontinued operations of $4.9 million and $5.4 million at August&nbsp;31, 2015 and May&nbsp;31, 2015, respectively, were classified as </font><font style="display: inline;font-style:italic;font-size:10pt;">Accrued Liabilities</font><font style="display: inline;font-size:10pt;"> on the Condensed Consolidated Balance Sheet.&nbsp;&nbsp;Operating income from discontinued operations for the three month periods ended August&nbsp;31, 2015 and 2014 was comprised of the following:</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 100.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Three&nbsp;Months&nbsp;Ended</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2014</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10.1pt;line-height:106.67%;text-indent: -10.1pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Sales</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>11.4 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>74.1 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Costs of sales</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(14.8 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(61.2 </td> <td valign="bottom" style="width:01.00%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Selling, general and administrative expenses</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(1.5 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(6.4 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Interest expense, net</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(3.2 </td> <td valign="bottom" style="width:01.00%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Operating income (loss) from discontinued operations</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(4.9 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.86%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>3.3 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Unless otherwise noted, amounts and disclosures throughout these Notes to Condensed Consolidated Financial Statements relate to our continuing operations.</font> </p> <p><font size="1"> </font></p> </div> </div> 2600000 2600000 0.36 0.65 0.36 0.65 <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-weight:bold;font-size:10pt;">Note 9 &#x2014; Earnings per Share</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">The computation of basic earnings per share is based on the weighted average number of common shares outstanding during each period.&nbsp;&nbsp;The computation of diluted earnings per share is based on the weighted average number of common shares outstanding during the period plus, when their effect is dilutive, incremental shares consisting of shares subject to stock options, shares issuable upon vesting of restricted stock awards, and shares to be issued upon conversion of convertible debt.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">We used the &#x201C;if-converted&#x201D; method in calculating the diluted earnings per share effect of the assumed conversion of our contingently convertible debt because the principal for that issuance can be settled in stock, cash, or a combination thereof.&nbsp;&nbsp;Under the &#x201C;if converted&#x201D; method, the after-tax effect of interest expense related to the convertible securities is added back to net income, and the convertible debt is assumed to have been converted into common shares at the beginning of the period.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">In accordance with ASC 260-10-45, </font><font style="display: inline;font-style:italic;font-size:10pt;">Share-Based Payment Arrangements and Participating Securities and the Two-Class Method</font><font style="display: inline;font-size:10pt;">, our unvested restricted stock awards are deemed participating securities since these shares are entitled to participate in dividends declared on common shares.&nbsp;&nbsp;During periods of net income, the calculation of earnings per share for common stock excludes income attributable to unvested restricted stock awards from the numerator and excludes the dilutive impact of those shares from the denominator.&nbsp;&nbsp;During periods of net loss, no effect is given to the participating securities because they do not share in the losses of the Company.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">The following table provides a reconciliation of the computations of basic and diluted earnings per share information for the three month periods ended August&nbsp;31, 2015 and 2014.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;;font-size: 10pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;font-size:10pt;"></font><font style="display: inline;font-size:10pt;"></font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 96.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:27.40%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Three&nbsp;Months&nbsp;Ended</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:27.40%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2014</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-style:italic;font-size:10pt;">Basic EPS:</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income from continuing operations</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>8.2 </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>11.8 </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Less income attributable to participating shares</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(0.2 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(0.2 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income from continuing operations attributable to common shareholders</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>8.0 </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>11.6 </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income from discontinued operations attributable to common shareholders</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>14.7 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>2.6 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Net income attributable to common shareholders for earnings per share &#x2014; basic</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>22.7 </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>14.2 </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.16%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.26%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.16%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.26%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-style:italic;font-size:10pt;">Diluted EPS:</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income from continuing operations</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>8.2 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>11.8 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Less income attributable to participating shares</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(0.2 </td> <td valign="bottom" style="width:02.58%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(0.2 </td> <td valign="bottom" style="width:00.98%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income from continuing operations attributable to common shareholders</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>8.0 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>11.6 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income from discontinued operations attributable to common shareholders</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>14.7 </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>2.6 </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Net income attributable to common shareholders for earnings per share &#x2014; diluted</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>22.7 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>14.2 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.16%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.26%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.16%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.26%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Weighted average common shares outstanding&#x2014;basic</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>34.7 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>38.8 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Additional shares from assumed exercise of stock options</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.4 </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.4 </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Weighted average common shares outstanding&#x2014;diluted</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>35.1 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>39.2 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings per share &#x2014; basic:</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings from continuing operations</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.23 </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.29 </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings from discontinued operations</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.42 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.07 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings per share &#x2014; basic</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.65 </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.36 </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.16%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.26%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.16%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.26%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings per share &#x2014; diluted:</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings from continuing operations</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.23 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.29 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings from discontinued operations</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.42 </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.07 </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings per share &#x2014; diluted</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.65 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.24%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.36 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.16%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.26%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.16%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.24%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">At August&nbsp;31, 2015 and 2014, respectively, stock options to purchase 148,163 shares and 180,163 shares of common stock were outstanding, but were not included in the computation of diluted earnings per share because the exercise price of each of these options was greater than the average market price of the common shares during the interim periods then ended.</font> </p> <p><font size="1"> </font></p> </div> </div> -700000 100000 600000 100000 22500000 23700000 -300000 -300000 0 123500000 123600000 62400000 48200000 14200000 54500000 49900000 4600000 11800000 8200000 0.29 0.23 0.29 0.23 2700000 14700000 100000 2600000 14700000 600000 -300000 2600000 23500000 6400000 4400000 600000 8100000 31200000 9700000 19400000 41500000 6700000 22200000 400000 400000 36700000 36200000 6400000 2900000 2000000 0 1300000 900000 500000 300000 13900000 1200000 <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-weight:bold;font-size:10pt;">Note 5 &#x2014; Inventory</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">The summary of inventories is as follows:</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 93.00%;margin-left:18pt;"> <tr> <td valign="bottom" style="width:67.90%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">May&nbsp;31,</font></p> </td> <td valign="bottom" style="width:01.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:67.90%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:01.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:67.90%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Raw materials and parts</font></p> </td> <td valign="bottom" style="width:02.68%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.20%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.66%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>40.7&nbsp; </td> <td valign="bottom" style="width:02.68%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.20%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.66%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>43.1&nbsp; </td> <td valign="bottom" style="width:01.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:67.90%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Work-in-process</font></p> </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>18.9&nbsp; </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>18.1&nbsp; </td> <td valign="bottom" style="width:01.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:67.90%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Aircraft and engine parts, components and finished goods</font></p> </td> <td valign="bottom" style="width:02.68%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>363.1&nbsp; </td> <td valign="bottom" style="width:02.68%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>337.0&nbsp; </td> <td valign="bottom" style="width:01.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:67.90%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Aircraft held for sale and related support parts</font></p> </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>55.9&nbsp; </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>57.8&nbsp; </td> <td valign="bottom" style="width:01.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:67.90%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:67.90%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.68%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.20%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.66%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>478.6&nbsp; </td> <td valign="bottom" style="width:02.68%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.20%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.64%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>456.0&nbsp; </td> <td valign="bottom" style="width:01.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:67.90%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.68%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.20%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.66%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.68%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.20%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.64%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">We had ten aircraft held for sale comprised of five fixed-wing and five rotary-wing aircraft at August&nbsp;31, 2015 and eleven aircraft held for sale comprised of five fixed-wing and six rotary-wing aircraft at May&nbsp;31, 2015.&nbsp;&nbsp;During the fourth quarter of fiscal 2015, we entered into a sale-leaseback transaction for our two S-92 rotary-wing aircraft.&nbsp;&nbsp;We received proceeds of $40.3 million in fiscal 2015 which have been deferred as a sale-leaseback advance pending completion of the sale transaction, which is expected to occur in fiscal 2016.</font> </p> <p><font size="1"> </font></p> </div> </div> 337000000 363100000 456000000 478600000 43100000 40700000 18100000 18900000 100000 100000 20500000 17400000 1515000000 1547200000 412000000 378100000 257900000 312100000 5400000 4900000 69000000 44500000 35500000 145000000 85000000 135000000 -11600000 16300000 -11000000 16300000 -10100000 21300000 -8900000 -6000000 15000000 -63700000 16800000 -65400000 14400000 22900000 14200000 22700000 14200000 22700000 <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-weight:bold;font-size:10pt;">Note 1 &#x2014; Basis of Presentation</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">AAR CORP. and its subsidiaries are referred to herein collectively as &#x201C;AAR,&#x201D; &#x201C;Company,&#x201D; &#x201C;we,&#x201D; &#x201C;us,&#x201D; and &#x201C;our,&#x201D; unless the context indicates otherwise.&nbsp;&nbsp;The accompanying Condensed Consolidated Financial Statements include the accounts of AAR and its subsidiaries after elimination of intercompany accounts and transactions.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">We have prepared these statements without audit, pursuant to the rules&nbsp;and regulations of the United States Securities and Exchange Commission (&#x201C;SEC&#x201D;).&nbsp;&nbsp;The Condensed Consolidated Balance Sheet as of May&nbsp;31, 2015 has been derived from audited financial statements.&nbsp;&nbsp;To prepare the financial statements in conformity with U.S. generally accepted accounting principles (&#x201C;GAAP&#x201D;), management has made a number of estimates and assumptions relating to the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities.&nbsp;&nbsp;Actual results could differ from those estimates.&nbsp;&nbsp;Certain information and note disclosures, normally included in comprehensive financial statements prepared in accordance with GAAP, have been condensed or omitted pursuant to such rules&nbsp;and regulations of the SEC.&nbsp;&nbsp;These Condensed Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and notes thereto included in our latest annual report on Form&nbsp;10-K.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">In the opinion of management, the condensed consolidated financial statements reflect all adjustments (which consist only of normal recurring adjustments) necessary to present fairly the condensed consolidated financial position of AAR CORP. and its subsidiaries as of August&nbsp;31, 2015, the Condensed Consolidated Statements of Income and the Condensed Consolidated Statements of Comprehensive Income for the three month periods ended August&nbsp;31, 2015 and 2014, the Condensed Consolidated Statements of Cash Flows for the three month periods ended August&nbsp;31, 2015 and 2014, and the Condensed Consolidated Statement of Changes in Equity for the three month period ended August&nbsp;31, 2015.&nbsp;&nbsp;The results of operations for such interim periods are not necessarily indicative of the results for the full year.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-style:italic;font-size:10pt;">New Accounting Pronouncements</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">In April&nbsp;2014, the Financial Accounting Standards Board (&#x201C;FASB&#x201D;) issued Accounting Standards Update (&#x201C;ASU&#x201D;) No.&nbsp;2014-08, </font><font style="display: inline;font-style:italic;font-size:10pt;">Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity</font><font style="display: inline;font-size:10pt;"> which requires that a disposal representing a strategic shift that has or will have a major effect on an entity&#x2019;s financial results or a business activity classified as held for sale should be reported as discontinued operations. This ASU also expands the disclosure requirements for discontinued operations and add new disclosures for individually significant dispositions that do not qualify as discontinued operations. The Company adopted this guidance on June&nbsp;1, 2015 which resulted in expanded disclosures related to the income statement and cash flow activities of our discontinued operations.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">In May&nbsp;2014, the FASB issued ASU No.&nbsp;2014-09, </font><font style="display: inline;font-style:italic;font-size:10pt;">Revenue from Contracts with Customers</font><font style="display: inline;font-size:10pt;">, which provides guidance for revenue recognition.&nbsp;&nbsp;This ASU affects any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of non-financial assets.&nbsp;&nbsp;This ASU will supersede the revenue recognition requirements in ASC 605, </font><font style="display: inline;font-style:italic;font-size:10pt;">Revenue Recognition</font><font style="display: inline;font-size:10pt;">, and most industry-specific guidance.&nbsp;&nbsp;This ASU also supersedes certain cost guidance included in Subtopic 605-35, </font><font style="display: inline;font-style:italic;font-size:10pt;">Revenue Recognition-Construction-Type and Production-Type Contracts</font><font style="display: inline;font-size:10pt;">.&nbsp;&nbsp;In August&nbsp;2015, the FASB issued ASU No.&nbsp;2015-14 which deferred the effective date of the new standard by one year which will make the new standard effective for us beginning June&nbsp;1, 2018.&nbsp;&nbsp;We are currently evaluating the impact of the adoption of this new standard on our consolidated financial statements.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">In April&nbsp;2015, the FASB issued ASU No.&nbsp;2015-03, </font><font style="display: inline;font-style:italic;font-size:10pt;">Simplifying the Presentation of Debt Issuance Costs</font><font style="display: inline;font-size:10pt;">.&nbsp;&nbsp;This ASU amends existing guidance to require the presentation of debt issuance costs in the balance sheet as a deduction from the carrying amount of the related debt liability instead of a deferred charge.&nbsp;&nbsp;This new standard will be effective for us beginning June&nbsp;1, 2016 with early adoption permitted.&nbsp;&nbsp;We are currently evaluating the impact of the adoption of this new standard on our consolidated financial statements.</font> </p> <p><font size="1"> </font></p> </div> </div> 28400000 37300000 85200000 76200000 -8700000 300000 -9000000 200000 200000 -9000000 200000 -400000 100000 -8600000 100000 300000 -9000000 400000 200000 400000 200000 100000 200000 100000 100000 300000 200000 0 100000 7100000 3000000 2600000 1000000 7800000 15000000 1.00 1.00 250000 250000 0 0 2500000 1300000 1100000 -200000 55000000 6500000 200000 1400000 14500000 22900000 22900000 214800000 214400000 -100000 -100000 -200000 -200000 <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;"></font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 100.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Three&nbsp;Months&nbsp;Ended</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2014</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Segment gross profit</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>54.5 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>62.4 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Selling, general and administrative</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(39.4 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(38.5 </td> <td valign="bottom" style="width:01.00%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings (Loss) from joint ventures</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(0.3 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.6 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Loss on extinguishment of debt</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(0.3 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Interest expense</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(2.0 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(6.4 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Interest income</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.1 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.1 </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income from continuing operations before provision for income taxes</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>12.6 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.86%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>18.2 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p><font size="1"> </font></p> </div> </div> 1500000 7300000 30300000 644300000 664600000 40300000 221300000 204000000 395100000 311600000 83500000 377800000 315800000 62000000 173800000 173800000 <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;"></font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 100.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:41.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Currency</font><br /><font style="display: inline;font-weight:bold;font-size:8pt;">Translation</font><br /><font style="display: inline;font-weight:bold;font-size:8pt;">Adjustments</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Pensions</font><br /><font style="display: inline;font-weight:bold;font-size:8pt;">Plans</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Derivative</font><br /><font style="display: inline;font-weight:bold;font-size:8pt;">Instruments</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Total</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:41.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Balance at June&nbsp;1, 2015</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.9 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(41.3 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(40.4 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Reclassification within AOCL</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(2.0 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>2.0 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:41.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Other comprehensive income (loss) before reclassifications from AOCL</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.2 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.2 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Amounts reclassified from AOCL</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.2 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.2 </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Total other comprehensive income (loss)</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.2 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.2 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.4 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:41.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Balance at August&nbsp;31, 2015</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(0.9 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(39.1 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(40.0 </td> <td valign="bottom" style="width:01.00%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Balance at June&nbsp;1, 2014</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>8.7 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(35.4 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(2.6 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(29.3 </td> <td valign="bottom" style="width:01.00%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Other comprehensive income before reclassifications</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(9.0 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.3 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(8.7 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Amounts reclassified from AOCL</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.1 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.1 </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Total other comprehensive income (loss)</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(9.0 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.1 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.3 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(8.6 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Balance at August&nbsp;31, 2014</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(0.3 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(35.3 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(2.3 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.86%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(37.9 </td> <td valign="bottom" style="width:01.00%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:41.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p><font size="1"> </font></p> </div> </div> <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;"></font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 96.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:27.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Three&nbsp;Months&nbsp;Ended</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:27.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2014</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Interest paid</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>1.2&nbsp; </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>13.9&nbsp; </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income taxes paid</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>23.5&nbsp; </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>2.6&nbsp; </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income tax refunds received</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>1.1&nbsp; </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>1.3&nbsp; </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p><font size="1"> </font></p> </div> </div> <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;"></font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 100.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">May&nbsp;31,</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Revolving Credit Facility expiring March&nbsp;24, 2020 with interest payable monthly</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>105.0 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>50.0 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Industrial revenue bond (secured by property, plant and equipment) due August&nbsp;1, 2018 with interest payable monthly</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>25.0 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>25.0 </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Note payable due March&nbsp;9, 2017 with floating interest rate, payable semi-annually on June&nbsp;1 and December&nbsp;1</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>15.0 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>20.0 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Convertible notes payable due March&nbsp;1, 2016 with interest at 2.25% payable semi-annually on March&nbsp;1 and September&nbsp;1</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>34.5 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>48.0 </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Mortgage loan (secured by Wood Dale,&nbsp;Illinois facility) due August&nbsp;1, 2015</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>11.0 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Total debt</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>179.5 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>154.0 </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Current maturities of debt</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(44.5 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(69.0 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Long-term debt</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>135.0 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.86%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>85.0 </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p><font size="1"> </font></p> </div> </div> <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;"></font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 100.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Three&nbsp;Months&nbsp;Ended</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2014</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10.1pt;line-height:106.67%;text-indent: -10.1pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Sales</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>11.4 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>74.1 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Costs of sales</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(14.8 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(61.2 </td> <td valign="bottom" style="width:01.00%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Selling, general and administrative expenses</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(1.5 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(6.4 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Interest expense, net</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(3.2 </td> <td valign="bottom" style="width:01.00%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Operating income (loss) from discontinued operations</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(4.9 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.86%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>3.3 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p><font size="1"> </font></p> </div> </div> <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;"></font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 96.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:27.40%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Three&nbsp;Months&nbsp;Ended</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:27.40%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2014</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-style:italic;font-size:10pt;">Basic EPS:</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income from continuing operations</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>8.2 </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>11.8 </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Less income attributable to participating shares</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(0.2 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(0.2 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income from continuing operations attributable to common shareholders</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>8.0 </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>11.6 </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income from discontinued operations attributable to common shareholders</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>14.7 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>2.6 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Net income attributable to common shareholders for earnings per share &#x2014; basic</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>22.7 </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>14.2 </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.16%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.26%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.16%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.26%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-style:italic;font-size:10pt;">Diluted EPS:</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income from continuing operations</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>8.2 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>11.8 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Less income attributable to participating shares</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(0.2 </td> <td valign="bottom" style="width:02.58%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(0.2 </td> <td valign="bottom" style="width:00.98%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income from continuing operations attributable to common shareholders</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>8.0 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>11.6 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income from discontinued operations attributable to common shareholders</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>14.7 </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>2.6 </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Net income attributable to common shareholders for earnings per share &#x2014; diluted</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>22.7 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>14.2 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.16%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.26%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.16%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.26%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Weighted average common shares outstanding&#x2014;basic</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>34.7 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>38.8 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Additional shares from assumed exercise of stock options</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.4 </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.4 </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Weighted average common shares outstanding&#x2014;diluted</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>35.1 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>39.2 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings per share &#x2014; basic:</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings from continuing operations</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.23 </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.29 </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings from discontinued operations</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.42 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.07 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings per share &#x2014; basic</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.65 </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.36 </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.16%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.26%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.16%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.26%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings per share &#x2014; diluted:</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings from continuing operations</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.23 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.29 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings from discontinued operations</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.42 </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.42%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.07 </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.42%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings per share &#x2014; diluted</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.26%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.65 </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.16%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.24%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.36 </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:69.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.16%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.26%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.58%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.16%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.24%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:00.98%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p><font size="1"> </font></p> </div> </div> <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;"></font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 93.00%;margin-left:18pt;"> <tr> <td valign="bottom" style="width:67.90%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">May&nbsp;31,</font></p> </td> <td valign="bottom" style="width:01.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:67.90%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:01.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:67.90%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Raw materials and parts</font></p> </td> <td valign="bottom" style="width:02.68%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.20%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.66%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>40.7&nbsp; </td> <td valign="bottom" style="width:02.68%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.20%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.66%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>43.1&nbsp; </td> <td valign="bottom" style="width:01.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:67.90%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Work-in-process</font></p> </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>18.9&nbsp; </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>18.1&nbsp; </td> <td valign="bottom" style="width:01.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:67.90%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Aircraft and engine parts, components and finished goods</font></p> </td> <td valign="bottom" style="width:02.68%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>363.1&nbsp; </td> <td valign="bottom" style="width:02.68%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>337.0&nbsp; </td> <td valign="bottom" style="width:01.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:67.90%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Aircraft held for sale and related support parts</font></p> </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>55.9&nbsp; </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.86%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>57.8&nbsp; </td> <td valign="bottom" style="width:01.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:67.90%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.68%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.02%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:67.90%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.68%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.20%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.66%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>478.6&nbsp; </td> <td valign="bottom" style="width:02.68%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.20%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:11.64%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>456.0&nbsp; </td> <td valign="bottom" style="width:01.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:67.90%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.68%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.20%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.66%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.68%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.20%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:11.64%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.02%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p><font size="1"> </font></p> </div> </div> <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;"></font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 100.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Three&nbsp;Months&nbsp;Ended</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2014</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Net sales:</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Aviation Services</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>315.8&nbsp; </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>311.6&nbsp; </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Expeditionary Services</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>62.0&nbsp; </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>83.5&nbsp; </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>377.8&nbsp; </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.86%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>395.1&nbsp; </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 100.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Three&nbsp;Months&nbsp;Ended</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2014</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Gross profit:</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Aviation Services</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>49.9&nbsp; </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>48.2&nbsp; </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Expeditionary Services</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>4.6&nbsp; </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>14.2&nbsp; </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>54.5&nbsp; </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>62.4&nbsp; </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p><font size="1"> </font></p> </div> </div> <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;;font-size: 12pt;font-family:Times New Roman;text-indent:0pt;margin-left:0pt;padding:0pt 36pt 0pt 0pt;"></font><font style="display: inline;"></font><font style="display: inline;"></font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 78.00%;margin-left:27pt;"> <tr> <td valign="top" style="width:78.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Risk-free interest rate</font></p> </td> <td valign="bottom" style="width:03.20%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:15.30%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>1.6&nbsp; </td> <td valign="bottom" style="width:03.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">%</font></p> </td> </tr> <tr> <td valign="top" style="width:78.50%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Expected volatility of common stock</font></p> </td> <td valign="bottom" style="width:03.20%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:15.30%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>36.1&nbsp; </td> <td valign="bottom" style="width:03.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">%</font></p> </td> </tr> <tr> <td valign="top" style="width:78.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Dividend yield</font></p> </td> <td valign="bottom" style="width:03.20%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:15.30%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>1.1&nbsp; </td> <td valign="bottom" style="width:03.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">%</font></p> </td> </tr> <tr> <td valign="top" style="width:78.50%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Expected option term in years</font></p> </td> <td valign="bottom" style="width:03.20%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:15.30%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>4.2&nbsp; </td> <td valign="bottom" style="width:03.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p><font size="1"> </font></p> </div> </div> <div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-weight:bold;font-size:10pt;">Note 11 &#x2014; Business Segment Information</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Consistent with how our chief operating decision making officer (Chief Executive Officer) evaluates performance and the way we are organized internally, we report our activities in two business segments:&nbsp; </font><font style="display: inline;font-style:italic;font-size:10pt;">Aviation Services</font><font style="display: inline;font-size:10pt;"> comprised of supply chain and maintenance, repair and overhaul (&#x201C;MRO&#x201D;) activities and </font><font style="display: inline;font-style:italic;font-size:10pt;">Expeditionary Services</font><font style="display: inline;font-size:10pt;"> comprised of airlift and mobility activities.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">The Aviation Services segment consists of businesses that provide spares and maintenance support for aircraft operated by our commercial and government/defense customers.&nbsp;&nbsp;Sales in the Aviation Services segment are derived from the sale and lease of a wide variety of new, overhauled and repaired engine and airframe parts and components to the commercial aviation and government and defense markets.&nbsp;&nbsp;We provide customized inventory supply chain management, performance based logistics programs, aircraft component repair management services, and aircraft modifications.&nbsp;&nbsp;The segment also includes repair, maintenance and overhaul of aircraft, landing gear and components.&nbsp;&nbsp;We also sell and lease used commercial aircraft (exclusively through joint ventures following the sale of our last two wholly-owned aircraft in the fourth quarter of fiscal 2015).&nbsp;&nbsp;Cost of sales consists principally of the cost of product, direct labor, and overhead.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">The Expeditionary Services segment consists of businesses that provide products and services supporting the movement of equipment and personnel by the U.S. Department of Defense (&#x201C;DoD&#x201D;), foreign governments and non-governmental organizations.&nbsp;&nbsp;Sales in the Expeditionary Services segment are derived from the delivery of airlift services to mostly government and defense customers and the design and manufacture of pallets, shelters, and containers used to support the U.S. military&#x2019;s requirements for a mobile and agile force.&nbsp;&nbsp;We also provide system integration services for specialized command and control systems.&nbsp;&nbsp;Cost of sales consists principally of aircraft maintenance costs, depreciation, the cost of material to manufacture products, direct labor and overhead.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">The accounting policies for the segments are the same as those described in Note 1 of Notes to Consolidated Financial Statements included in our annual report on Form&nbsp;10-K for the year ended May&nbsp;31, 2015.&nbsp;&nbsp;Our chief operating decision making officer evaluates performance based on the reportable segments and utilizes gross profit as a primary profitability measure.&nbsp;&nbsp;Gross profit is calculated by subtracting cost of sales from sales.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">The assets and certain expenses related to corporate activities are not allocated to the segments.&nbsp;&nbsp;Our reportable segments are aligned principally around differences in products and services.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Selected financial information for each segment is as follows:</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 100.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Three&nbsp;Months&nbsp;Ended</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2014</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Net sales:</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Aviation Services</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>315.8&nbsp; </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>311.6&nbsp; </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Expeditionary Services</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>62.0&nbsp; </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>83.5&nbsp; </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>377.8&nbsp; </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.86%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>395.1&nbsp; </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 100.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Three&nbsp;Months&nbsp;Ended</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2014</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Gross profit:</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Aviation Services</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>49.9&nbsp; </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>48.2&nbsp; </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Expeditionary Services</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>4.6&nbsp; </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>14.2&nbsp; </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>54.5&nbsp; </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>62.4&nbsp; </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p style="margin:0pt;text-indent:36pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">The following table reconciles segment gross profit to income from continuing operations before provision for income taxes.</font> </p> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <div style="width:100%"><table cellpadding="0" cellspacing="0" style="border-collapse:collapse;width: 100.00%;margin-left:0pt;"> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">Three&nbsp;Months&nbsp;Ended</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="5" valign="bottom" style="width:26.50%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">August&nbsp;31,</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="bottom" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2015</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 8pt"> <font style="display: inline;font-weight:bold;font-size:8pt;">2014</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:center;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Segment gross profit</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>54.5 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>62.4 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Selling, general and administrative</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(39.4 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(38.5 </td> <td valign="bottom" style="width:01.00%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Earnings (Loss) from joint ventures</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(0.3 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.6 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Loss on extinguishment of debt</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(0.3 </td> <td valign="bottom" style="width:02.50%;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;text-align:right;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">&#x2014;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Interest expense</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(2.0 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>(6.4 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">)</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt 0pt 0pt 20pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Interest income</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.1 </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td colspan="2" valign="bottom" style="width:12.00%;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>0.1 </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td colspan="2" valign="bottom" style="width:12.00%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:1pt solid #000000 ;border-right:1pt none #D9D9D9 ;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt 0pt 0pt 10pt;line-height:106.67%;text-indent: -10pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">Income from continuing operations before provision for income taxes</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.88%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>12.6 </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> <td valign="bottom" style="width:01.12%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-size:10pt;">$</font></p> </td> <td valign="bottom" style="width:10.86%;background-color: #CCEEFF;;font-family:Times New Roman;font-size:10pt;text-align:right;" nowrap="nowrap"><div style="float:left"></div>18.2 </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 12pt"> &nbsp;</p> </td> </tr> <tr> <td valign="top" style="width:70.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.88%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:02.50%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.12%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:10.86%;border-top:1pt none #D9D9D9 ;border-left:1pt none #D9D9D9 ;border-bottom:2pt double #000000 ;border-right:1pt none #D9D9D9 ;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> <td valign="bottom" style="width:01.00%;background-color: #CCEEFF;padding:0pt;"> <p style="margin:0pt;line-height:106.67%;font-family:Times New Roman;font-size: 1pt"> <font style="display: inline;font-size:1pt;">&nbsp;</font></p> </td> </tr> </table></div> <p style="margin:0pt;font-family:Times New Roman;font-size: 12pt"> <font style="display: inline;">&nbsp;</font> </p> <p><font size="1"> </font></p> </div> </div> 38500000 39400000 2000000 2000000 45000 109269 28069 29.54 26.62 26.62 0.011 P4Y2M12D 0.361 0.016 1000000 800000 0 488767 7.48 26.62 845100000 -40400000 442600000 44900000 644300000 -246300000 857000000 -40000000 443900000 45100000 664600000 -256600000 -3500000 1000000 200000 -4700000 1900000 400000 1500000 9473058 9868438 246300000 256600000 7100000 7100000 21100000 28800000 200000 200000 39200000 35100000 38800000 34700000 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Financing Arrangements (Details) - USD ($)
$ in Millions
3 Months Ended
Aug. 31, 2015
Aug. 31, 2014
May. 31, 2015
Financing Arrangements      
Total debt $ 179.5   $ 154.0
Current maturities of debt (44.5)   (69.0)
Long-term debt 135.0   85.0
Loss on extinguishment of debt 0.3    
Interest expense      
Amortization of discount 0.6 $ 0.7  
Revolving Credit Facility expiring March 24, 2020 with interest payable monthly      
Financing Arrangements      
Total debt 105.0   50.0
Industrial revenue bond (secured by property, plant and equipment)      
Financing Arrangements      
Total debt 25.0   25.0
Note payable due March 9, 2017 with floating interest rate, payable semi-annually on June 1 and December 1      
Financing Arrangements      
Total debt 15.0   $ 20.0
Convertible notes payable      
Interest expense      
Coupon interest 0.3 0.5  
Amortization of deferred financing fees   0.1  
Amortization of discount 0.6 0.7  
Interest expense related to convertible notes $ 0.9 $ 1.3  
Convertible notes payable due March 1, 2016 with interest at 2.25% payable semi-annually on March 1 and September 1      
Financing Arrangements      
Interest rate (as a percent) 2.25%   2.25%
Total debt $ 34.5   $ 48.0
Amount of convertible notes repurchased 14.4    
Cash paid for convertible notes repurchased 14.6    
Accrued interest 0.2    
Loss on extinguishment of debt 0.3    
Carrying value of long-term debt 34.5    
Convertible notes payable due March 1, 2016 with interest at 2.25% payable semi-annually on March 1 and September 1 | Significant other observable inputs (Level 2)      
Financing Arrangements      
Estimated fair value of long-term debt 35.5    
Mortgage loan (secured by Wood Dale, Illinois facility) due August 1, 2015      
Financing Arrangements      
Total debt     $ 11.0
Remaining variable rate and fixed rate debt | Significant other unobservable inputs (Level 3)      
Financing Arrangements      
Estimated fair value of long-term debt $ 145.0    
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Earnings per Share (Tables)
3 Months Ended
Aug. 31, 2015
Earnings per Share  
Reconciliation of the computations of basic and diluted earnings per share information

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Basic EPS:

 

 

 

 

 

Income from continuing operations

 

$

8.2

 

$

11.8

 

Less income attributable to participating shares

 

(0.2

)

(0.2

)

 

 

 

 

 

 

Income from continuing operations attributable to common shareholders

 

8.0

 

11.6

 

Income from discontinued operations attributable to common shareholders

 

14.7

 

2.6

 

 

 

 

 

 

 

Net income attributable to common shareholders for earnings per share — basic

 

$

22.7

 

$

14.2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Diluted EPS:

 

 

 

 

 

Income from continuing operations

 

$

8.2

 

$

11.8

 

Less income attributable to participating shares

 

(0.2

)

(0.2

)

 

 

 

 

 

 

Income from continuing operations attributable to common shareholders

 

8.0

 

11.6

 

Income from discontinued operations attributable to common shareholders

 

14.7

 

2.6

 

 

 

 

 

 

 

Net income attributable to common shareholders for earnings per share — diluted

 

$

22.7

 

$

14.2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average common shares outstanding—basic

 

34.7

 

38.8

 

Additional shares from assumed exercise of stock options

 

0.4

 

0.4

 

 

 

 

 

 

 

Weighted average common shares outstanding—diluted

 

35.1

 

39.2

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per share — basic:

 

 

 

 

 

Earnings from continuing operations

 

$

0.23

 

$

0.29

 

Earnings from discontinued operations

 

0.42

 

0.07

 

 

 

 

 

 

 

Earnings per share — basic

 

$

0.65

 

$

0.36

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per share — diluted:

 

 

 

 

 

Earnings from continuing operations

 

$

0.23

 

$

0.29

 

Earnings from discontinued operations

 

0.42

 

0.07

 

 

 

 

 

 

 

Earnings per share — diluted

 

$

0.65

 

$

0.36

 

 

 

 

 

 

 

 

 

 

XML 17 R37.htm IDEA: XBRL DOCUMENT v3.2.0.727
Business Segment Information (Details) - USD ($)
$ in Millions
3 Months Ended
Aug. 31, 2015
Aug. 31, 2014
Business Segment Information    
Sales $ 377.8 $ 395.1
Gross Profit 54.5 62.4
Aviation Services    
Business Segment Information    
Sales 315.8 311.6
Gross Profit 49.9 48.2
Expeditionary Services    
Business Segment Information    
Sales 62.0 83.5
Gross Profit $ 4.6 $ 14.2
XML 18 R9.htm IDEA: XBRL DOCUMENT v3.2.0.727
Basis of Presentation
3 Months Ended
Aug. 31, 2015
Basis of Presentation  
Basis of Presentation

 

Note 1 — Basis of Presentation

 

AAR CORP. and its subsidiaries are referred to herein collectively as “AAR,” “Company,” “we,” “us,” and “our,” unless the context indicates otherwise.  The accompanying Condensed Consolidated Financial Statements include the accounts of AAR and its subsidiaries after elimination of intercompany accounts and transactions.

 

We have prepared these statements without audit, pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”).  The Condensed Consolidated Balance Sheet as of May 31, 2015 has been derived from audited financial statements.  To prepare the financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”), management has made a number of estimates and assumptions relating to the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities.  Actual results could differ from those estimates.  Certain information and note disclosures, normally included in comprehensive financial statements prepared in accordance with GAAP, have been condensed or omitted pursuant to such rules and regulations of the SEC.  These Condensed Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and notes thereto included in our latest annual report on Form 10-K.

 

In the opinion of management, the condensed consolidated financial statements reflect all adjustments (which consist only of normal recurring adjustments) necessary to present fairly the condensed consolidated financial position of AAR CORP. and its subsidiaries as of August 31, 2015, the Condensed Consolidated Statements of Income and the Condensed Consolidated Statements of Comprehensive Income for the three month periods ended August 31, 2015 and 2014, the Condensed Consolidated Statements of Cash Flows for the three month periods ended August 31, 2015 and 2014, and the Condensed Consolidated Statement of Changes in Equity for the three month period ended August 31, 2015.  The results of operations for such interim periods are not necessarily indicative of the results for the full year.

 

New Accounting Pronouncements

 

In April 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-08, Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity which requires that a disposal representing a strategic shift that has or will have a major effect on an entity’s financial results or a business activity classified as held for sale should be reported as discontinued operations. This ASU also expands the disclosure requirements for discontinued operations and add new disclosures for individually significant dispositions that do not qualify as discontinued operations. The Company adopted this guidance on June 1, 2015 which resulted in expanded disclosures related to the income statement and cash flow activities of our discontinued operations.

 

In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, which provides guidance for revenue recognition.  This ASU affects any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of non-financial assets.  This ASU will supersede the revenue recognition requirements in ASC 605, Revenue Recognition, and most industry-specific guidance.  This ASU also supersedes certain cost guidance included in Subtopic 605-35, Revenue Recognition-Construction-Type and Production-Type Contracts.  In August 2015, the FASB issued ASU No. 2015-14 which deferred the effective date of the new standard by one year which will make the new standard effective for us beginning June 1, 2018.  We are currently evaluating the impact of the adoption of this new standard on our consolidated financial statements.

 

In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs.  This ASU amends existing guidance to require the presentation of debt issuance costs in the balance sheet as a deduction from the carrying amount of the related debt liability instead of a deferred charge.  This new standard will be effective for us beginning June 1, 2016 with early adoption permitted.  We are currently evaluating the impact of the adoption of this new standard on our consolidated financial statements.

XML 19 R29.htm IDEA: XBRL DOCUMENT v3.2.0.727
Revenue Recognition (Details) - USD ($)
$ in Millions
Aug. 31, 2015
May. 31, 2015
Revenue Recognition    
Unbilled accounts receivable related to KC10 supply agreement $ 28.8 $ 21.1
XML 20 R28.htm IDEA: XBRL DOCUMENT v3.2.0.727
Discontinued Operations (Details) - USD ($)
$ in Millions
3 Months Ended 12 Months Ended
Aug. 31, 2015
May. 31, 2015
Aug. 31, 2014
May. 31, 2015
Discontinued Operations        
Interest Expense $ 2.0   $ 6.4  
Operating income from discontinued operations        
Operating income (loss) from discontinued operations (4.9)   3.3  
Telair Cargo Group and PSM | Discontinued Operations, Held-for-sale or Disposed of by Sale        
Discontinued Operations        
Interest Expense 0.0   2.9  
General corporate overhead 0.0      
Liabilities of discontinued operations 4.9 $ 5.4   $ 5.4
Operating income from discontinued operations        
Sales 11.4   74.1  
Costs of Sales (14.8)   (61.2)  
Selling, general and administrative expenses (1.5)   (6.4)  
Interest expense, net     (3.2)  
Operating income (loss) from discontinued operations (4.9)   $ 3.3  
Telair Cargo Group | Discontinued Operations, Disposed of by Sale        
Discontinued Operations        
Cash consideration received   705.0    
Pre-tax gain on sale of business (net of transaction expenses and fees)   198.6    
Telair Cargo Group | A400M | Discontinued Operations, Disposed of by Sale        
Discontinued Operations        
Gain recognized on sale of business $ 27.7      
Telair Cargo Group | A400M | Maximum | Discontinued Operations, Disposed of by Sale        
Discontinued Operations        
Contingent consideration   $ 35.0    
Precision Systems Manufacturing | Discontinued Operations, Held-for-sale        
Discontinued Operations        
Recognized impairment charge       $ 57.5
XML 21 R30.htm IDEA: XBRL DOCUMENT v3.2.0.727
Accounting for Stock-Based Compensation (Details) - USD ($)
$ / shares in Units, $ in Millions
1 Months Ended 3 Months Ended
Aug. 31, 2015
Jun. 30, 2015
Aug. 31, 2015
Aug. 31, 2014
Stock options        
Share-Based Compensation        
Granted (in shares) 488,767     0
Weighted average exercise price $ 26.62      
Weighted average fair value of stock options granted (in dollars per share) $ 7.48      
Assumptions used in the Black-Scholes option pricing models to estimate the fair value of each stock option grant        
Risk-free interest rate 1.60%      
Expected volatility of common stock 36.10%      
Dividend yield 1.10%      
Expected option term in years 4 years 2 months 12 days      
Stock options, additional disclosures        
Total intrinsic value of stock options exercised     $ 0.8 $ 1.0
Compensation expense     0.8 0.7
Restricted stock        
Stock options, additional disclosures        
Compensation expense     $ 1.2 $ 1.3
Performance-based restricted stock        
Stock options, additional disclosures        
Granted (in shares) 109,269      
Granted (in dollars per share) $ 26.62      
Time-based restricted stock        
Stock options, additional disclosures        
Granted (in shares) 28,069      
Granted (in dollars per share) $ 26.62      
Time-based restricted stock | Board of Directors        
Stock options, additional disclosures        
Granted (in shares)   45,000    
Granted (in dollars per share)   $ 29.54    
XML 22 R31.htm IDEA: XBRL DOCUMENT v3.2.0.727
Inventory (Details)
$ in Millions
12 Months Ended
May. 31, 2015
USD ($)
aircraft
Aug. 31, 2015
USD ($)
aircraft
Inventory    
Raw materials and parts $ 43.1 $ 40.7
Work-in-process 18.1 18.9
Aircraft and engine parts, components and finished goods 337.0 363.1
Aircraft held for sale and related support parts 57.8 55.9
Total inventories $ 456.0 $ 478.6
Inventory    
Number of aircrafts held for sale | aircraft 11 10
Fixed-wing aircraft    
Inventory    
Number of aircrafts held for sale | aircraft 5 5
Rotary-wing aircraft    
Inventory    
Number of aircrafts held for sale | aircraft 6 5
S-92 rotary-wing aircraft    
Inventory    
Number of Aircrafts Involved in Sale Leaseback Transaction | aircraft 2  
Proceeds from sale-leaseback advance $ 40.3  
XML 23 R8.htm IDEA: XBRL DOCUMENT v3.2.0.727
Condensed Consolidated Statements of Changes in Equity - 3 months ended Aug. 31, 2015 - USD ($)
$ in Millions
Common Stock
Capital Surplus
Retained Earnings
Treasury Stock
Accumulated Other Comprehensive Income (Loss)
Total
Balance at May. 31, 2015 $ 44.9 $ 442.6 $ 644.3 $ (246.3) $ (40.4) $ 845.1
Increase (Decrease) in Stockholders' Equity            
Net income     22.9     22.9
Cash dividends     (2.6)     (2.6)
Stock option activity   0.4   1.5   1.9
Restricted stock activity 0.2 1.0   (4.7)   (3.5)
Repurchase of shares       (7.1)   (7.1)
Equity portion of bond repurchase   (0.1)       (0.1)
Other comprehensive income, net of tax         0.4 0.4
Balance at Aug. 31, 2015 $ 45.1 $ 443.9 $ 664.6 $ (256.6) $ (40.0) $ 857.0
XML 24 R32.htm IDEA: XBRL DOCUMENT v3.2.0.727
Supplemental Cash Flow Information (Details) - USD ($)
$ in Millions
3 Months Ended
Aug. 31, 2015
Aug. 31, 2014
Supplemental Cash Flow Information    
Interest paid $ 1.2 $ 13.9
Income taxes paid 23.5 2.6
Income tax refunds received $ 1.1 $ 1.3
XML 25 R2.htm IDEA: XBRL DOCUMENT v3.2.0.727
Condensed Consolidated Balance Sheets - USD ($)
$ in Millions
Aug. 31, 2015
May. 31, 2015
Current assets:    
Cash and cash equivalents $ 28.7 $ 54.7
Accounts receivable, less allowances of $4.4 and $5.8, respectively 270.6 229.0
Inventories 478.6 456.0
Rotable spares and equipment on or available for short-term lease 111.6 110.7
Assets of discontinued operations 12.2 17.0
Deposits, prepaids and other 37.3 28.4
Deferred tax assets 58.3 58.3
Total current assets 997.3 954.1
Property, plant and equipment, net of accumulated depreciation of $409.0 and $398.5, respectively 214.4 214.8
Other assets:    
Goodwill 123.6 123.5
Intangible assets, net of accumulated amortization of $23.7 and $22.5, respectively 36.2 36.7
Equipment on or available for long-term lease 82.1 80.2
Investment in joint ventures 17.4 20.5
Other 76.2 85.2
Total other assets 335.5 346.1
Total assets 1,547.2 1,515.0
Current liabilities:    
Current maturities of long-term debt 44.5 69.0
Accounts and trade notes payable 151.8 142.3
Accrued liabilities 181.8 200.7
Total current liabilities 378.1 412.0
Long-term debt, less current maturities 135.0 85.0
Deferred tax liabilities 101.1 104.6
Other liabilities and deferred income 76.0 68.3
Total noncurrent liabilities $ 312.1 $ 257.9
Equity:    
Preferred stock, $1.00 par value, authorized 250,000 shares; none issued    
Common stock, $1.00 par value, authorized 100,000,000 shares; issued 45,074,491 and 44,895,934 shares at cost, respectively $ 45.1 $ 44.9
Capital surplus 443.9 442.6
Retained earnings 664.6 644.3
Treasury stock, 9,868,438 and 9,473,058 shares at cost, respectively (256.6) (246.3)
Accumulated other comprehensive loss (40.0) (40.4)
Total equity 857.0 845.1
Total liabilities and equity $ 1,547.2 $ 1,515.0
XML 26 R6.htm IDEA: XBRL DOCUMENT v3.2.0.727
Condensed Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($)
$ in Millions
3 Months Ended
Aug. 31, 2015
Aug. 31, 2014
Condensed Consolidated Statements of Comprehensive Income    
Currency translation adjustments, tax $ 0.1 $ (0.4)
Unrealized gain arising during period, tax 0.0 0.2
Amortization of actuarial loss and prior service cost included in net income, tax $ 0.1 $ 0.1
XML 27 R35.htm IDEA: XBRL DOCUMENT v3.2.0.727
Earnings per Share (Details) - USD ($)
$ / shares in Units, $ in Millions
3 Months Ended
Aug. 31, 2015
Aug. 31, 2014
Earnings per Share    
Effect to the participating securities as result of net loss $ 0.0  
Antidilutive stock options excluded from the computation of diluted earnings per share (in shares) 148,163 180,163
Basic EPS:    
Income from continuing operations $ 8.2 $ 11.8
Less income attributable to participating shares (0.2) (0.2)
Income from continuing operations attributable to common shareholders 8.0 11.6
Income from discontinued operations attributable to common shareholders 14.7 2.6
Net income attributable to common shareholders for earnings per share - basic 22.7 14.2
Diluted EPS:    
Income from continuing operations 8.2 11.8
Less income attributable to participating shares (0.2) (0.2)
Income from continuing operations attributable to common shareholders 8.0 11.6
Income from discontinued operations attributable to common shareholders 14.7 2.6
Net income attributable to common shareholders for earnings per share - diluted $ 22.7 $ 14.2
Weighted average common shares outstanding - basic 34,700,000 38,800,000
Additional shares from the assumed exercise of stock options 400,000 400,000
Weighted average common shares outstanding - diluted 35,100,000 39,200,000
Earnings per share - basic:    
Earnings from continuing operations $ 0.23 $ 0.29
Earnings from discontinued operations 0.42 0.07
Earnings per share - basic 0.65 0.36
Earnings per share - diluted:    
Earnings from continuing operations 0.23 0.29
Earnings from discontinued operations 0.42 0.07
Earnings per share - diluted $ 0.65 $ 0.36
XML 28 R22.htm IDEA: XBRL DOCUMENT v3.2.0.727
Inventory (Tables)
3 Months Ended
Aug. 31, 2015
Inventory  
Summary of inventories

 

 

August 31,

 

May 31,

 

 

 

2015

 

2015

 

Raw materials and parts

 

$

40.7 

 

$

43.1 

 

Work-in-process

 

18.9 

 

18.1 

 

Aircraft and engine parts, components and finished goods

 

363.1 

 

337.0 

 

Aircraft held for sale and related support parts

 

55.9 

 

57.8 

 

 

 

 

 

 

 

 

 

$

478.6 

 

$

456.0 

 

 

 

 

 

 

 

 

 

 

XML 29 R36.htm IDEA: XBRL DOCUMENT v3.2.0.727
Accumulated Other Comprehensive Loss (Details) - Disposal Group Name [Domain] - USD ($)
$ in Millions
3 Months Ended
Aug. 31, 2015
Aug. 31, 2014
Accumulated Other Comprehensive Loss    
Accumulated Other Comprehensive Income (Loss), Net of Tax, Beginning Balance $ (40.4) $ (29.3)
Other comprehensive income (loss) before reclassifications from AOCL 0.2 (8.7)
Amounts reclassified from AOCL 0.2 0.1
Total other comprehensive income (loss) 0.4 (8.6)
Accumulated Other Comprehensive Income (Loss), Net of Tax, Ending Balance (40.0) (37.9)
Currency Translation Adjustments    
Accumulated Other Comprehensive Loss    
Accumulated Other Comprehensive Income (Loss), Net of Tax, Beginning Balance 0.9 8.7
Reclassification within AOCL (2.0)  
Other comprehensive income (loss) before reclassifications from AOCL 0.2 (9.0)
Total other comprehensive income (loss) 0.2 (9.0)
Accumulated Other Comprehensive Income (Loss), Net of Tax, Ending Balance (0.9) (0.3)
Pensions Plans    
Accumulated Other Comprehensive Loss    
Accumulated Other Comprehensive Income (Loss), Net of Tax, Beginning Balance (41.3) (35.4)
Reclassification within AOCL 2.0  
Amounts reclassified from AOCL 0.2 0.1
Total other comprehensive income (loss) 0.2 0.1
Accumulated Other Comprehensive Income (Loss), Net of Tax, Ending Balance $ (39.1) (35.3)
Derivative Instruments    
Accumulated Other Comprehensive Loss    
Accumulated Other Comprehensive Income (Loss), Net of Tax, Beginning Balance   (2.6)
Other comprehensive income (loss) before reclassifications from AOCL   0.3
Total other comprehensive income (loss)   0.3
Accumulated Other Comprehensive Income (Loss), Net of Tax, Ending Balance   $ (2.3)
XML 30 R24.htm IDEA: XBRL DOCUMENT v3.2.0.727
Financing Arrangements (Tables)
3 Months Ended
Aug. 31, 2015
Financing Arrangements  
Summary of carrying amount of debt

 

 

August 31,

 

May 31,

 

 

 

2015

 

2015

 

 

 

 

 

 

 

Revolving Credit Facility expiring March 24, 2020 with interest payable monthly

 

$

105.0

 

$

50.0

 

Industrial revenue bond (secured by property, plant and equipment) due August 1, 2018 with interest payable monthly

 

25.0

 

25.0

 

Note payable due March 9, 2017 with floating interest rate, payable semi-annually on June 1 and December 1

 

15.0

 

20.0

 

Convertible notes payable due March 1, 2016 with interest at 2.25% payable semi-annually on March 1 and September 1

 

34.5

 

48.0

 

Mortgage loan (secured by Wood Dale, Illinois facility) due August 1, 2015

 

 

11.0

 

 

 

 

 

 

 

Total debt

 

179.5

 

154.0

 

Current maturities of debt

 

(44.5

)

(69.0

)

 

 

 

 

 

 

Long-term debt

 

$

135.0

 

$

85.0

 

 

 

 

 

 

 

 

 

 

Schedule of interest expense associated with the convertible notes

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Coupon interest

 

$

0.3 

 

$

0.5 

 

Amortization of deferred financing fees

 

 

0.1 

 

Amortization of discount

 

0.6 

 

0.7 

 

 

 

 

 

 

 

Interest expense related to convertible notes

 

$

0.9 

 

$

1.3 

 

 

 

 

 

 

 

 

 

 

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Condensed Consolidated Statements of Cash Flows - USD ($)
$ in Millions
3 Months Ended
Aug. 31, 2015
Aug. 31, 2014
Cash flows provided from (used in) operating activities:    
Net income attributable to AAR and noncontrolling interest $ 22.9 $ 14.5
Less: Income from discontinued operations (14.7) (2.7)
Income from continuing operations attributable to AAR 8.2 11.8
Adjustments to reconcile net income to net cash provided from (used in) operating activities:    
Depreciation and intangible amortization 12.7 13.2
Amortization of stock-based compensation 2.0 2.0
Amortization of debt discount 0.6 0.7
Amortization of overhaul costs 4.7 6.2
Deferred tax provision (benefit) (4.0) 1.2
Loss on extinguishment of debt 0.3  
Loss (Earnings) from joint ventures 0.3 (0.6)
Changes in certain assets and liabilities:    
Accounts receivable (41.5) (19.4)
Inventories (22.2) (6.7)
Rotable spares and equipment on or available for short-term lease (0.7) 0.2
Equipment on or available for long-term lease (4.2) (7.1)
Accounts and trade notes payable 9.7 31.2
Accrued and other liabilities (25.4) (13.2)
Other, primarily program and overhaul costs (5.9) (2.7)
Net cash provided from (used in) operating activities - continuing operations (65.4) 16.8
Net cash provided from (used in) operating activities -discontinued operations 1.7 (1.8)
Net cash provided from (used in) operating activities (63.7) 15.0
Cash flows provided from (used in) investing activities:    
Property, plant and equipment expenditures (15.0) (7.8)
Payments for acquisitions   (1.0)
Proceeds from asset disposals 6.5  
Proceeds from aircraft joint ventures 2.5  
Other   (0.1)
Net cash used in investing activities - continuing operations (6.0) (8.9)
Net cash provided from (used in) investing activities - discontinued operations 27.3 (1.2)
Net cash provided from (used in) investing activities 21.3 (10.1)
Cash flows provided from (used in) financing activities:    
Short-term borrowings (repayments), net 55.0  
Reduction in long-term borrowings (30.3) (7.3)
Reduction in capital lease obligations   (1.5)
Cash dividends (2.6) (3.0)
Purchase of treasury stock (7.1)  
Stock option exercises 1.4 0.2
Tax benefits from exercise of stock options 0.1 0.6
Other (0.2)  
Net cash provided from (used in) financing activities -continuing operations 16.3 (11.0)
Net cash used in financing activities - discontinued operations   (0.6)
Net cash provided from (used in) financing activities 16.3 (11.6)
Effect of exchange rate changes on cash 0.1 (0.7)
Decrease in cash and cash equivalents (26.0) (7.4)
Cash and cash equivalents, beginning of period 54.7 89.2
Cash and cash equivalents, end of period $ 28.7 $ 81.8
XML 33 R3.htm IDEA: XBRL DOCUMENT v3.2.0.727
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($)
$ in Millions
Aug. 31, 2015
May. 31, 2015
Condensed Consolidated Balance Sheets    
Accounts receivable, allowances (in dollars) $ 4.4 $ 5.8
Property, plant and equipment, accumulated depreciation (in dollars) 409.0 398.5
Intangible assets, accumulated amortization (in dollars) $ 23.7 $ 22.5
Preferred stock, par value (in dollars per share) $ 1.00 $ 1.00
Preferred stock, authorized shares 250,000 250,000
Preferred stock, issued shares 0 0
Common stock, par value (in dollars per share) $ 1.00 $ 1.00
Common stock, authorized shares 100,000,000 100,000,000
Common stock, issued shares 45,074,491 44,895,934
Treasury stock, shares 9,868,438 9,473,058
XML 34 R17.htm IDEA: XBRL DOCUMENT v3.2.0.727
Earnings per Share
3 Months Ended
Aug. 31, 2015
Earnings per Share  
Earnings per Share

 

Note 9 — Earnings per Share

 

The computation of basic earnings per share is based on the weighted average number of common shares outstanding during each period.  The computation of diluted earnings per share is based on the weighted average number of common shares outstanding during the period plus, when their effect is dilutive, incremental shares consisting of shares subject to stock options, shares issuable upon vesting of restricted stock awards, and shares to be issued upon conversion of convertible debt.

 

We used the “if-converted” method in calculating the diluted earnings per share effect of the assumed conversion of our contingently convertible debt because the principal for that issuance can be settled in stock, cash, or a combination thereof.  Under the “if converted” method, the after-tax effect of interest expense related to the convertible securities is added back to net income, and the convertible debt is assumed to have been converted into common shares at the beginning of the period.

 

In accordance with ASC 260-10-45, Share-Based Payment Arrangements and Participating Securities and the Two-Class Method, our unvested restricted stock awards are deemed participating securities since these shares are entitled to participate in dividends declared on common shares.  During periods of net income, the calculation of earnings per share for common stock excludes income attributable to unvested restricted stock awards from the numerator and excludes the dilutive impact of those shares from the denominator.  During periods of net loss, no effect is given to the participating securities because they do not share in the losses of the Company.

 

The following table provides a reconciliation of the computations of basic and diluted earnings per share information for the three month periods ended August 31, 2015 and 2014.

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Basic EPS:

 

 

 

 

 

Income from continuing operations

 

$

8.2

 

$

11.8

 

Less income attributable to participating shares

 

(0.2

)

(0.2

)

 

 

 

 

 

 

Income from continuing operations attributable to common shareholders

 

8.0

 

11.6

 

Income from discontinued operations attributable to common shareholders

 

14.7

 

2.6

 

 

 

 

 

 

 

Net income attributable to common shareholders for earnings per share — basic

 

$

22.7

 

$

14.2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Diluted EPS:

 

 

 

 

 

Income from continuing operations

 

$

8.2

 

$

11.8

 

Less income attributable to participating shares

 

(0.2

)

(0.2

)

 

 

 

 

 

 

Income from continuing operations attributable to common shareholders

 

8.0

 

11.6

 

Income from discontinued operations attributable to common shareholders

 

14.7

 

2.6

 

 

 

 

 

 

 

Net income attributable to common shareholders for earnings per share — diluted

 

$

22.7

 

$

14.2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average common shares outstanding—basic

 

34.7

 

38.8

 

Additional shares from assumed exercise of stock options

 

0.4

 

0.4

 

 

 

 

 

 

 

Weighted average common shares outstanding—diluted

 

35.1

 

39.2

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per share — basic:

 

 

 

 

 

Earnings from continuing operations

 

$

0.23

 

$

0.29

 

Earnings from discontinued operations

 

0.42

 

0.07

 

 

 

 

 

 

 

Earnings per share — basic

 

$

0.65

 

$

0.36

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per share — diluted:

 

 

 

 

 

Earnings from continuing operations

 

$

0.23

 

$

0.29

 

Earnings from discontinued operations

 

0.42

 

0.07

 

 

 

 

 

 

 

Earnings per share — diluted

 

$

0.65

 

$

0.36

 

 

 

 

 

 

 

 

 

 

At August 31, 2015 and 2014, respectively, stock options to purchase 148,163 shares and 180,163 shares of common stock were outstanding, but were not included in the computation of diluted earnings per share because the exercise price of each of these options was greater than the average market price of the common shares during the interim periods then ended.

XML 35 R1.htm IDEA: XBRL DOCUMENT v3.2.0.727
Document and Entity Information - Aug. 31, 2015 - shares
Total
Document and Entity Information  
Entity Registrant Name AAR CORP
Entity Central Index Key 0000001750
Document Type 10-Q
Document Period End Date Aug. 31, 2015
Amendment Flag false
Current Fiscal Year End Date --05-31
Entity Current Reporting Status Yes
Entity Filer Category Large Accelerated Filer
Entity Common Stock, Shares Outstanding 35,206,053
Document Fiscal Year Focus 2016
Document Fiscal Period Focus Q1
XML 36 R18.htm IDEA: XBRL DOCUMENT v3.2.0.727
Accumulated Other Comprehensive Loss
3 Months Ended
Aug. 31, 2015
Accumulated Other Comprehensive Loss  
Accumulated Other Comprehensive Loss

 

Note 10 — Accumulated Other Comprehensive Loss

 

Changes in our accumulated other comprehensive loss (“AOCL”) by component for the three month periods ended August 31, 2015 and 2014 were as follows:

 

 

 

Currency
Translation
Adjustments

 

Pensions
Plans

 

Derivative
Instruments

 

Total

 

Balance at June 1, 2015

 

$

0.9

 

$

(41.3

)

$

 

$

(40.4

)

Reclassification within AOCL

 

(2.0

)

2.0

 

 

 

Other comprehensive income (loss) before reclassifications from AOCL

 

0.2

 

 

 

0.2

 

Amounts reclassified from AOCL

 

 

0.2

 

 

0.2

 

 

 

 

 

 

 

 

 

 

 

Total other comprehensive income (loss)

 

0.2

 

0.2

 

 

0.4

 

 

 

 

 

 

 

 

 

 

 

Balance at August 31, 2015

 

$

(0.9

)

$

(39.1

)

$

 

$

(40.0

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance at June 1, 2014

 

$

8.7

 

$

(35.4

)

$

(2.6

)

$

(29.3

)

Other comprehensive income before reclassifications

 

(9.0

)

 

0.3

 

(8.7

)

Amounts reclassified from AOCL

 

 

0.1

 

 

0.1

 

 

 

 

 

 

 

 

 

 

 

Total other comprehensive income (loss)

 

(9.0

)

0.1

 

0.3

 

(8.6

)

 

 

 

 

 

 

 

 

 

 

Balance at August 31, 2014

 

$

(0.3

)

$

(35.3

)

$

(2.3

)

$

(37.9

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Condensed Consolidated Statements of Income - USD ($)
$ in Millions
3 Months Ended
Aug. 31, 2015
Aug. 31, 2014
Sales:    
Sales from products $ 204.0 $ 221.3
Sales from services 173.8 173.8
Total sales 377.8 395.1
Costs and operating expenses:    
Cost of products 169.8 194.3
Cost of services 153.5 138.4
Selling, general and administrative 39.4 38.5
Total costs and operating expenses 362.7 371.2
Earnings (Loss) from joint ventures (0.3) 0.6
Operating income 14.8 24.5
Loss on extinguishment of debt (0.3)  
Interest expense (2.0) (6.4)
Interest income 0.1 0.1
Income from continuing operations before provision for income taxes 12.6 18.2
Provision for income taxes 4.4 6.4
Income from continuing operations attributable to AAR 8.2 11.8
Discontinued operations    
Operating income (loss) (4.9) 3.3
Gain from contingent consideration 27.7  
Provision for income taxes 8.1 0.6
Income from discontinued operations 14.7 2.7
Income attributable to noncontrolling interest from discontinued operations   0.1
Income from discontinued operations attributable to AAR 14.7 2.6
Net income attributable to AAR $ 22.9 $ 14.4
Earnings per share - basic:    
Earnings from continuing operations $ 0.23 $ 0.29
Earnings from discontinued operations 0.42 0.07
Earnings per share - basic 0.65 0.36
Earnings per share - diluted:    
Earnings from continuing operations 0.23 0.29
Earnings from discontinued operations 0.42 0.07
Earnings per share - diluted $ 0.65 $ 0.36

XML 39 R12.htm IDEA: XBRL DOCUMENT v3.2.0.727
Accounting for Stock-Based Compensation
3 Months Ended
Aug. 31, 2015
Accounting for Stock-Based Compensation  
Accounting for Stock-Based Compensation

 

Note 4 — Accounting for Stock-Based Compensation

 

Restricted Stock

 

In August 2015, as part of our annual long-term stock incentive compensation, we granted 109,269 shares of performance-based restricted stock and 28,069 shares of time-based restricted stock to eligible employees.  The grant date fair value per share for both grants was $26.62.  In June 2015, we also granted 45,000 shares of time-based restricted stock to members of the Board of Directors with a grant date fair value per share of $29.54.

 

Expense charged to operations for restricted stock during the three month periods ended August 31, 2015 and 2014 was $1.2 million and $1.3 million, respectively.

 

Stock Options

 

In August 2015, as part of our annual long-term stock incentive compensation, we granted 488,767 stock options to eligible employees at an exercise price of $26.62 and weighted average fair value of $7.48.  The fair value of stock options was estimated on the date of grant using the Black-Scholes option pricing model with the following assumptions:

 

Risk-free interest rate

 

1.6 

%

Expected volatility of common stock

 

36.1 

%

Dividend yield

 

1.1 

%

Expected option term in years

 

4.2 

 

 

The total intrinsic value of stock options exercised during the three month periods ended August 31, 2015 and 2014 was $0.8 million and $1.0 million, respectively.  Expense charged to operations for stock options during the three month periods ended August 31, 2015 and 2014 was $0.8 million and $0.7 million, respectively.  No stock options were granted during the three month period ended August 31, 2014.

 

XML 40 R11.htm IDEA: XBRL DOCUMENT v3.2.0.727
Revenue Recognition
3 Months Ended
Aug. 31, 2015
Revenue Recognition  
Revenue Recognition

 

Note 3 — Revenue Recognition

 

Sales and related cost of sales for product sales are recognized upon shipment of the product to the customer.  Our standard terms and conditions provide that title passes to the customer when the product is shipped to the customer.  Sales of certain defense products are recognized upon customer acceptance, which includes transfer of title.  Under the majority of our expeditionary airlift services contracts, we are paid and record as revenue a fixed daily amount per aircraft for each day an aircraft is available to perform airlift services.  In addition, we are paid and record as revenue an amount which is based on number of hours flown.  Sales from services and the related cost of services are generally recognized when customer-owned material is shipped back to the customer.  We have adopted this accounting policy because at the time the customer-owned material is shipped back to the customer; all services related to that material are complete as our service agreements generally do not require us to provide services at customer sites.  Furthermore, serviced units are typically shipped to the customer immediately upon completion of the related services.  Sales and related cost of sales for certain large airframe maintenance contracts and performance-based logistics programs are recognized by the percentage of completion method, based on the relationship of costs incurred to date to the estimated total costs.  Lease revenues are recognized as earned.  Income from monthly or quarterly rental payments is recorded in the pertinent period according to the lease agreement.  However, for leases that provide variable rents, we recognize lease income on a straight-line basis.  In addition to a monthly lease rate, some engine leases require an additional rental amount based on the number of hours the engine is used in a particular month.  Lease income associated with these contingent rentals is recorded in the period in which actual usage is reported to us by the lessee, which is normally the month following the actual usage.

 

Certain supply chain management programs we provide to our customers contain multiple elements or deliverables, such as program and warehouse management, parts distribution, and maintenance and repair services.  We recognize revenue for each element or deliverable that can be identified as a separate unit of accounting at the time of delivery based upon the relative fair value of the products and services.

 

Included in accounts receivable as of August 31, 2015 and May 31, 2015, are $28.8 million and $21.1 million, respectively, of unbilled accounts receivable related to a defense-related supply program.  These unbilled accounts receivable relate to costs we have incurred on parts that were requested and accepted by our customer to support the program.  These costs have not been billed by us because the customer has not issued the final paperwork necessary to allow for billing.

XML 41 R23.htm IDEA: XBRL DOCUMENT v3.2.0.727
Supplemental Cash Flow Information (Tables)
3 Months Ended
Aug. 31, 2015
Supplemental Cash Flow Information  
Schedule of supplemental information on cash flow

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Interest paid

 

$

1.2 

 

$

13.9 

 

Income taxes paid

 

23.5 

 

2.6 

 

Income tax refunds received

 

1.1 

 

1.3 

 

 

XML 42 R19.htm IDEA: XBRL DOCUMENT v3.2.0.727
Business Segment Information
3 Months Ended
Aug. 31, 2015
Business Segment Information  
Business Segment Information

 

Note 11 — Business Segment Information

 

Consistent with how our chief operating decision making officer (Chief Executive Officer) evaluates performance and the way we are organized internally, we report our activities in two business segments:  Aviation Services comprised of supply chain and maintenance, repair and overhaul (“MRO”) activities and Expeditionary Services comprised of airlift and mobility activities.

 

The Aviation Services segment consists of businesses that provide spares and maintenance support for aircraft operated by our commercial and government/defense customers.  Sales in the Aviation Services segment are derived from the sale and lease of a wide variety of new, overhauled and repaired engine and airframe parts and components to the commercial aviation and government and defense markets.  We provide customized inventory supply chain management, performance based logistics programs, aircraft component repair management services, and aircraft modifications.  The segment also includes repair, maintenance and overhaul of aircraft, landing gear and components.  We also sell and lease used commercial aircraft (exclusively through joint ventures following the sale of our last two wholly-owned aircraft in the fourth quarter of fiscal 2015).  Cost of sales consists principally of the cost of product, direct labor, and overhead.

 

The Expeditionary Services segment consists of businesses that provide products and services supporting the movement of equipment and personnel by the U.S. Department of Defense (“DoD”), foreign governments and non-governmental organizations.  Sales in the Expeditionary Services segment are derived from the delivery of airlift services to mostly government and defense customers and the design and manufacture of pallets, shelters, and containers used to support the U.S. military’s requirements for a mobile and agile force.  We also provide system integration services for specialized command and control systems.  Cost of sales consists principally of aircraft maintenance costs, depreciation, the cost of material to manufacture products, direct labor and overhead.

 

The accounting policies for the segments are the same as those described in Note 1 of Notes to Consolidated Financial Statements included in our annual report on Form 10-K for the year ended May 31, 2015.  Our chief operating decision making officer evaluates performance based on the reportable segments and utilizes gross profit as a primary profitability measure.  Gross profit is calculated by subtracting cost of sales from sales.

 

The assets and certain expenses related to corporate activities are not allocated to the segments.  Our reportable segments are aligned principally around differences in products and services.

 

Selected financial information for each segment is as follows:

 

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Net sales:

 

 

 

 

 

Aviation Services

 

$

315.8 

 

$

311.6 

 

Expeditionary Services

 

62.0 

 

83.5 

 

 

 

 

 

 

 

 

 

$

377.8 

 

$

395.1 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Gross profit:

 

 

 

 

 

Aviation Services

 

$

49.9 

 

$

48.2 

 

Expeditionary Services

 

4.6 

 

14.2 

 

 

 

 

 

 

 

 

 

$

54.5 

 

$

62.4 

 

 

 

 

 

 

 

 

 

 

The following table reconciles segment gross profit to income from continuing operations before provision for income taxes.

 

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Segment gross profit

 

$

54.5

 

$

62.4

 

Selling, general and administrative

 

(39.4

)

(38.5

)

Earnings (Loss) from joint ventures

 

(0.3

)

0.6

 

Loss on extinguishment of debt

 

(0.3

)

 

Interest expense

 

(2.0

)

(6.4

)

Interest income

 

0.1

 

0.1

 

 

 

 

 

 

 

Income from continuing operations before provision for income taxes

 

$

12.6

 

$

18.2

 

 

 

 

 

 

 

 

 

 

XML 43 R15.htm IDEA: XBRL DOCUMENT v3.2.0.727
Financing Arrangements
3 Months Ended
Aug. 31, 2015
Financing Arrangements  
Financing Arrangements

 

Note 7 — Financing Arrangements

 

A summary of the carrying amount of our debt is as follows:

 

 

 

August 31,

 

May 31,

 

 

 

2015

 

2015

 

 

 

 

 

 

 

Revolving Credit Facility expiring March 24, 2020 with interest payable monthly

 

$

105.0

 

$

50.0

 

Industrial revenue bond (secured by property, plant and equipment) due August 1, 2018 with interest payable monthly

 

25.0

 

25.0

 

Note payable due March 9, 2017 with floating interest rate, payable semi-annually on June 1 and December 1

 

15.0

 

20.0

 

Convertible notes payable due March 1, 2016 with interest at 2.25% payable semi-annually on March 1 and September 1

 

34.5

 

48.0

 

Mortgage loan (secured by Wood Dale, Illinois facility) due August 1, 2015

 

 

11.0

 

 

 

 

 

 

 

Total debt

 

179.5

 

154.0

 

Current maturities of debt

 

(44.5

)

(69.0

)

 

 

 

 

 

 

Long-term debt

 

$

135.0

 

$

85.0

 

 

 

 

 

 

 

 

 

 

At August 31, 2015, the carrying value of our 2.25% convertible notes was $34.5 million and the estimated fair value was approximately $35.5 million.  The 2.25% convertible notes are classified as Level 2 in the fair value hierarchy.  This classification is defined as a fair value determined using market-based inputs other than quoted prices that are observable for the liability, either directly or indirectly.

 

At August 31, 2015, the remaining variable rate and fixed rate debt had a fair value that approximates the carrying value of $145.0 million.  These debt instruments are classified as Level 3 in the fair value hierarchy which is defined as a fair value determined based upon one or more significant unobservable inputs.

 

We are subject to a number of covenants under our financing arrangements, including restrictions that relate to the payment of cash dividends, maintenance of debt-to-EBITDA and interest coverage ratios, sales of assets, additional financing, purchase of our shares and other matters.  We are in compliance with all financial and other covenants under our financing arrangements.

 

Convertible Notes

 

During the three-month period ended August 31, 2015, we repurchased $14.4 million of our outstanding 2.25% convertible notes due March 1, 2016 for $14.6 million cash including $0.2 million of accrued interest.  We recognized a $0.3 million loss on the early extinguishment of the notes.

 

The interest expense associated with the convertible notes was as follows:

 

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Coupon interest

 

$

0.3 

 

$

0.5 

 

Amortization of deferred financing fees

 

 

0.1 

 

Amortization of discount

 

0.6 

 

0.7 

 

 

 

 

 

 

 

Interest expense related to convertible notes

 

$

0.9 

 

$

1.3 

 

 

 

 

 

 

 

 

 

 

XML 44 R13.htm IDEA: XBRL DOCUMENT v3.2.0.727
Inventory
3 Months Ended
Aug. 31, 2015
Inventory  
Inventory

 

Note 5 — Inventory

 

The summary of inventories is as follows:

 

 

 

August 31,

 

May 31,

 

 

 

2015

 

2015

 

Raw materials and parts

 

$

40.7 

 

$

43.1 

 

Work-in-process

 

18.9 

 

18.1 

 

Aircraft and engine parts, components and finished goods

 

363.1 

 

337.0 

 

Aircraft held for sale and related support parts

 

55.9 

 

57.8 

 

 

 

 

 

 

 

 

 

$

478.6 

 

$

456.0 

 

 

 

 

 

 

 

 

 

 

We had ten aircraft held for sale comprised of five fixed-wing and five rotary-wing aircraft at August 31, 2015 and eleven aircraft held for sale comprised of five fixed-wing and six rotary-wing aircraft at May 31, 2015.  During the fourth quarter of fiscal 2015, we entered into a sale-leaseback transaction for our two S-92 rotary-wing aircraft.  We received proceeds of $40.3 million in fiscal 2015 which have been deferred as a sale-leaseback advance pending completion of the sale transaction, which is expected to occur in fiscal 2016.

XML 45 R14.htm IDEA: XBRL DOCUMENT v3.2.0.727
Supplemental Cash Flow Information
3 Months Ended
Aug. 31, 2015
Supplemental Cash Flow Information  
Supplemental Cash Flow Information

 

Note 6 — Supplemental Cash Flow Information

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Interest paid

 

$

1.2 

 

$

13.9 

 

Income taxes paid

 

23.5 

 

2.6 

 

Income tax refunds received

 

1.1 

 

1.3 

 

 

XML 46 R16.htm IDEA: XBRL DOCUMENT v3.2.0.727
Derivative Instruments and Hedging Activities
3 Months Ended
Aug. 31, 2015
Derivative Instruments and Hedging Activities  
Derivative Instruments and Hedging Activities

 

Note 8 — Derivative Instruments and Hedging Activities

 

We are exposed to interest rate risk associated with fluctuations in interest rates on our variable rate debt.  Prior to the fourth quarter of fiscal 2015, we utilized two derivative financial instruments to manage our variable interest rate exposure.  We utilized a floating-to-fixed interest rate swap and an interest rate cap agreement with each hedging $50.0 million of notional principal interest under our Revolving Credit Facility.  In connection with the Amendment of our Revolving Credit Facility, we settled our floating-to-fixed interest rate swap and interest rate cap agreements in the fourth quarter of fiscal 2015 for approximately $2.6 million.

 

Prior to the settlement, the derivatives instruments were classified as cash flow hedges with gains and losses on the derivative instruments included in other comprehensive income.  We recognized gains and losses on our derivative instruments as an adjustment to interest expense in the period the hedged interest payment affected earnings.

XML 47 R34.htm IDEA: XBRL DOCUMENT v3.2.0.727
Derivative Instruments and Hedging Activities (Details)
$ in Millions
Aug. 31, 2015
USD ($)
item
May. 31, 2015
USD ($)
Derivative Instruments and Hedging Activities    
Number of derivative financial instruments | item 2  
Interest rate cap | Derivatives designated as hedging instruments: | Cash flow hedges    
Derivative Instruments and Hedging Activities    
Notional amount under revolving credit agreement $ 50.0  
Interest rate swap | Derivatives designated as hedging instruments: | Cash flow hedges    
Derivative Instruments and Hedging Activities    
Notional amount under revolving credit agreement $ 50.0  
Interest Rate Swap and Cap Agreements | Derivatives designated as hedging instruments:    
Derivative Instruments and Hedging Activities    
Settlement of floating-to-fixed interest rate swap and interest rate cap agreement   $ 2.6
XML 48 R21.htm IDEA: XBRL DOCUMENT v3.2.0.727
Accounting for Stock-Based Compensation (Tables)
3 Months Ended
Aug. 31, 2015
Accounting for Stock-Based Compensation  
Schedule of assumptions used in the Black-Scholes option pricing model to estimate the fair value of each stock option grant

Risk-free interest rate

 

1.6 

%

Expected volatility of common stock

 

36.1 

%

Dividend yield

 

1.1 

%

Expected option term in years

 

4.2 

 

 

XML 49 R26.htm IDEA: XBRL DOCUMENT v3.2.0.727
Accumulated Other Comprehensive Loss (Tables)
3 Months Ended
Aug. 31, 2015
Accumulated Other Comprehensive Loss  
Schedule of changes in accumulated other comprehensive loss ("AOCL") by component

 

 

Currency
Translation
Adjustments

 

Pensions
Plans

 

Derivative
Instruments

 

Total

 

Balance at June 1, 2015

 

$

0.9

 

$

(41.3

)

$

 

$

(40.4

)

Reclassification within AOCL

 

(2.0

)

2.0

 

 

 

Other comprehensive income (loss) before reclassifications from AOCL

 

0.2

 

 

 

0.2

 

Amounts reclassified from AOCL

 

 

0.2

 

 

0.2

 

 

 

 

 

 

 

 

 

 

 

Total other comprehensive income (loss)

 

0.2

 

0.2

 

 

0.4

 

 

 

 

 

 

 

 

 

 

 

Balance at August 31, 2015

 

$

(0.9

)

$

(39.1

)

$

 

$

(40.0

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance at June 1, 2014

 

$

8.7

 

$

(35.4

)

$

(2.6

)

$

(29.3

)

Other comprehensive income before reclassifications

 

(9.0

)

 

0.3

 

(8.7

)

Amounts reclassified from AOCL

 

 

0.1

 

 

0.1

 

 

 

 

 

 

 

 

 

 

 

Total other comprehensive income (loss)

 

(9.0

)

0.1

 

0.3

 

(8.6

)

 

 

 

 

 

 

 

 

 

 

Balance at August 31, 2014

 

$

(0.3

)

$

(35.3

)

$

(2.3

)

$

(37.9

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

XML 50 R5.htm IDEA: XBRL DOCUMENT v3.2.0.727
Condensed Consolidated Statements of Comprehensive Income - USD ($)
$ in Millions
3 Months Ended
Aug. 31, 2015
Aug. 31, 2014
Condensed Consolidated Statements of Comprehensive Income    
Net income attributable to AAR and noncontrolling interest $ 22.9 $ 14.5
Other comprehensive income (loss), net of tax expense (benefit):    
Currency translation adjustments, net of tax of $0.1 and ($0.4) 0.2 (9.0)
Unrealized gain on derivative instruments:    
Unrealized gain arising during period, net of tax of $0.0 and $0.2   0.3
Pension and other post-retirement plans:    
Amortization of actuarial loss and prior service cost included in net income, net of tax of $0.1 and $0.1 0.2 0.1
Other comprehensive income (loss), net of tax 0.4 (8.6)
Comprehensive income, net of tax 23.3 5.9
Comprehensive income related to noncontrolling interest   (0.1)
Comprehensive income attributable to AAR $ 23.3 $ 5.8
XML 51 R10.htm IDEA: XBRL DOCUMENT v3.2.0.727
Discontinued Operations
3 Months Ended
Aug. 31, 2015
Discontinued operations  
Discontinued Operations

 

Note 2 — Discontinued Operations

 

On March 26, 2015, we completed the sale of our Telair Cargo Group to TransDigm, Inc.  The Telair Cargo Group was comprised of Telair International, Telair US, and Nordisk Aviation Products.  Cash received at closing in the fourth quarter of fiscal 2015 before fees and expenses was $705 million.  The sale also allowed for contingent consideration of up to $35 million based on the occurrence of certain post-closing events related to the A400M cargo system.  We recognized a pre-tax gain on the sale (net of transaction expenses and fees) of $198.6 million in the fourth quarter of fiscal 2015.

 

In the first quarter of fiscal 2016, we recognized a gain of $27.7 million net of expenses representing the resolution of the contingent consideration related to the A400M cargo system.

 

During fiscal 2015, we also announced our intention to sell our Precision Systems Manufacturing (“PSM”) business comprised of our metal and composite machined and fabricated parts manufacturing operations.  We recognized impairment charges of $57.5 million during fiscal 2015 to reduce the carrying value of the PSM business’s net assets to their expected value at the time of sale.

 

Telair Cargo Group and PSM are reported as discontinued operations in the Condensed Consolidated Statements of Income for all periods presented.  Interest expense allocated to discontinued operations was $0 million and $2.9 million during the three months ended August 31, 2015 and 2014, respectively.  No amounts for general corporate overhead were allocated to discontinued operations.

 

Liabilities of discontinued operations of $4.9 million and $5.4 million at August 31, 2015 and May 31, 2015, respectively, were classified as Accrued Liabilities on the Condensed Consolidated Balance Sheet.  Operating income from discontinued operations for the three month periods ended August 31, 2015 and 2014 was comprised of the following:

 

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Sales

 

$

11.4

 

$

74.1

 

Costs of sales

 

(14.8

)

(61.2

)

Selling, general and administrative expenses

 

(1.5

)

(6.4

)

Interest expense, net

 

 

(3.2

)

 

 

 

 

 

 

Operating income (loss) from discontinued operations

 

$

(4.9

)

$

3.3

 

 

 

 

 

 

 

 

 

 

Unless otherwise noted, amounts and disclosures throughout these Notes to Condensed Consolidated Financial Statements relate to our continuing operations.

XML 52 R27.htm IDEA: XBRL DOCUMENT v3.2.0.727
Business Segment Information (Tables)
3 Months Ended
Aug. 31, 2015
Business Segment Information  
Selected financial information for each reportable segment

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Net sales:

 

 

 

 

 

Aviation Services

 

$

315.8 

 

$

311.6 

 

Expeditionary Services

 

62.0 

 

83.5 

 

 

 

 

 

 

 

 

 

$

377.8 

 

$

395.1 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Gross profit:

 

 

 

 

 

Aviation Services

 

$

49.9 

 

$

48.2 

 

Expeditionary Services

 

4.6 

 

14.2 

 

 

 

 

 

 

 

 

 

$

54.5 

 

$

62.4 

 

 

 

 

 

 

 

 

 

 

Schedule of reconciliation of segment gross profit to income from continuing operations before provision for income taxes

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Segment gross profit

 

$

54.5

 

$

62.4

 

Selling, general and administrative

 

(39.4

)

(38.5

)

Earnings (Loss) from joint ventures

 

(0.3

)

0.6

 

Loss on extinguishment of debt

 

(0.3

)

 

Interest expense

 

(2.0

)

(6.4

)

Interest income

 

0.1

 

0.1

 

 

 

 

 

 

 

Income from continuing operations before provision for income taxes

 

$

12.6

 

$

18.2

 

 

 

 

 

 

 

 

 

 

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Business Segment Information (Details 2) - USD ($)
$ in Millions
3 Months Ended
Aug. 31, 2015
Aug. 31, 2014
Reconciliation of segment gross profit to income from continuing operations before provision for income taxes    
Segment gross profit $ 54.5 $ 62.4
Selling, general and administrative (39.4) (38.5)
Earnings (Loss) from joint ventures (0.3) 0.6
Loss on extinguishment of debt (0.3)  
Interest expense (2.0) (6.4)
Interest income 0.1 0.1
Income from continuing operations before provision for income taxes $ 12.6 $ 18.2
XML 55 R20.htm IDEA: XBRL DOCUMENT v3.2.0.727
Discontinued Operations (Tables)
3 Months Ended
Aug. 31, 2015
Discontinued operations  
Schedule of Operating income from discontinued operations

 

 

Three Months Ended

 

 

 

August 31,

 

 

 

2015

 

2014

 

Sales

 

$

11.4

 

$

74.1

 

Costs of sales

 

(14.8

)

(61.2

)

Selling, general and administrative expenses

 

(1.5

)

(6.4

)

Interest expense, net

 

 

(3.2

)

 

 

 

 

 

 

Operating income (loss) from discontinued operations

 

$

(4.9

)

$

3.3