Asset Held for Sale and Disposal

9 Months Ended

Jun. 30, 2018

Discontinued Operations and Disposal Groups [Abstract]

Asset Held for Sale and Disposal

Assets Held for Sale and Disposal

The assets held for sale balance at June 30, 2018 and September 30, 2017 were $670 and $2,524, respectively. The balance at September 30, 2017 included assets held for sale related to the Cork, Ireland building ("Irish Building") in the amount of $1,447 and the remaining $1,077 related the Alliance building and certain machinery and equipment. In the first quarter of fiscal 2018, the Company signed a purchase agreement with a buyer for the sale of the Irish Building. The sale transaction was finalized on December 15, 2017 for cash proceeds of approximately $3,078, resulting in an approximate gain of $1,545 included within the consolidated condensed statement of operations in within loss on disposal or impairment of operating assets. The net cash proceeds were received in January 2018. A portion of the net cash proceeds in the amount of $2,447 was used to pay down the Term Facility and revolving credit facility as further discussed in Note 4, Debt.

The Alliance building and machinery and equipment are recorded as assets held for sale in the consolidated condensed balance sheets. The balance at June 30, 2018 represents the Alliance building and certain machinery and equipment that continues to meet the assets held for sale classification due to the circumstances of the closure of Alliance and expected plan to sell. The Alliance assets' fair value was remeasured at June 30, 2018 as an auction of the machinery and equipment took place in July 2018. As such, a $357 charge was recorded within the consolidated condensed statement of operations included within loss on disposal or impairment of operating assets to reflect the fair value at the lower of carrying cost or forced liquidation value. The results of the auction have not been finalized; however, for the machinery and equipment that did sell, approximately $523 of cash proceeds was generated, net of costs to sell. About $90 will remain as assets held for sale and the Company expects to sell these remaining assets within the next twelve months.