Note 22 - Commitments and Contingencies

12 Months Ended

May 31, 2014

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies Disclosure [Text Block]

22. COMMITMENTS AND CONTINGENCIES

Lease Commitments

In the U.S., the Company leases office, warehousing and manufacturing facilities under several operating lease agreements expiring at various dates through fiscal 2026 with a right to renew for an additional term in the case of most of the leases. Certain of these leases contain escalation clauses. Outside the U.S., the Company leases foreign office and warehouse facilities under operating lease agreements expiring at various dates through fiscal 2020. The total leasing expense for the Company was $5.5 million in fiscal 2014, $5.8 million in fiscal 2013, $3.1 million in the Successor fiscal 2012 period, and $0.9 million in the Predecessor fiscal 2012 period.

The following is a schedule of approximate future annual lease payments under all operating leases that have initial or remaining non-cancelable lease terms as of May 31, 2014 (in thousands):

Year Ended May 31:
2015	$	4,345
2016		4,102
2017		3,774
2018		3,601
2019		3,129
Thereafter		12,915
	$	31,866

Purchase Commitments

Purchase commitments made in the normal course of business were $46.3 million as of May 31, 2014. These purchases were primarily for inventory items. The following is a schedule of approximate future payments for purchase commitments as of May 31, 2014 (in thousands):

Year Ended May 31:
2015	$	21,640
2016		6,823
2017		3,799
2018		3,928
2019		4,083

Legal Proceedings

In 2009, securities litigation was filed in the U.S. District Court of North Georgia against the Company and certain of the Company’s former directors and officers asserting federal securities fraud claims on behalf of a putative class of purchasers of our common stock between October 19, 2005 and June 25, 2009. In June 2011 the Court dismissed the complaint and closed the case and in September 2011 the plaintiffs appealed. The Company agreed to settle these actions in December 2012 and has received preliminary approval of the settlement in March 2013. Final approval was granted in June 2013. The settlement is covered under the Company’s insurance and did not impact our financial results.

And, from time to time, the Company is a party to certain legal proceedings in the ordinary course of business. However, the Company is not subject to any other legal proceedings expected to have a material adverse effect on the Company’s consolidated financial position, results of operations or cash flows.

Self-Insurance Costs

In fiscal 2014, the Company entered into a program to self-insure its costs related to U.S. medical employee benefits. Liabilities are recognized based on claims filed and an estimate of claims incurred but not reported. The liabilities for medical claims are accounted for on an undiscounted basis. The Company has purchased stop-loss coverage to limit its exposure on a per claim basis. The Company is insured for covered costs in excess of these per claim limits. As of May 31, 2014 the self-insured liability was approximately is $0.9 million and was included in accrued expenses and other current liabilities on the Company’s consolidated balance sheet.