Discontinued Operations

12 Months Ended

Oct. 31, 2015

Discontinued Operations and Disposal Groups [Abstract]

Discontinued Operations

DISCONTINUED OPERATIONS

     In connection with our 2020 Vision, on October 26, 2015, we sold substantially all of the assets of our Security business for cash proceeds of $131.0 million, subject to a working capital adjustment, to Universal Protection Service, LP (“UPS”). As such, we have reclassified all assets, liabilities, and results of operations for this business to discontinued operations.

Major Classes of Assets and Liabilities of the Discontinued Security Segment

	October 31,
(in millions)	2014
Trade accounts receivable, net	$	60.9
Prepaid expenses	2.1
Other current assets	0.4
Current assets of discontinued operations	63.4
Property, plant and equipment, net	0.4
Other intangible assets, net	1.3
Goodwill	49.9
Other noncurrent assets	1.0
Noncurrent assets of discontinued operations	52.6
Trade accounts payable	2.2
Accrued compensation	12.0
Accrued taxes—other than income	2.1
Other accrued liabilities	2.8
Current liabilities of discontinued operations	$	19.1

Summarized Operating Results

	Years Ended October 31,
(in millions)	2015			2014			2013
Revenues	$	392.7		$	383.1		$	381.5
Expenses
Operating expenses(1)	366.4			353.0			349.3
Selling, general and administrative(2)	16.2			15.7			17.7
Amortization of intangible assets	0.5			0.6			0.8
Total expenses	383.1			369.3			367.8
Operating profit	9.6			13.8			13.7
Gain on sale before income taxes	23.6			—			—
Income from discontinued operations before income taxes	33.2			13.8			13.7
Provision for income taxes	(11.0		)	(5.1		)	(3.4		)
Income from discontinued operations, net of taxes(3)	$	22.2		$	8.7		$	10.3

⁽¹⁾ Includes amounts that were directly related to the operations of the former Security business, including certain costs that were previously recorded in Corporate expenses. In addition, see Note 19, “Segment and Geographic Information,” for information regarding certain expenses that were previously allocated to Security and are now allocated back to Corporate expenses and the Janitorial segment.

⁽²⁾ Includes a $1.6 million unfavorable legal settlement related to our former Lighting segment, which we disposed of in 2008.

⁽³⁾ Discontinued operations includes both costs related to ongoing legal cases and insurance reserves associated with the former Security business. We will continue to reflect these types of costs within discontinued operations in future periods. Refer to Note 15, “Commitments and Contingencies,” and Note 12, “Insurance,” for further information.