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DERIVATIVES AND HEDGING ACTIVITIES (Tables)

12 Months Ended

Jun. 30, 2020

Derivative Instruments and Hedging Activities Disclosure [Abstract]

As of June 30, 2020, the Company had the following outstanding interest rate derivatives that were designated as cash flow hedges of interest rate risk:


Interest Rate Derivative	Number of Instruments	Notional Amount
Interest Rate Swap	4	$230,000

As of June 30, 2020, the Company had the following outstanding foreign currency derivatives that were used to hedge its foreign exchange risks:


Foreign Currency Derivative	Number of Instruments	Notional Sold	Notional Purchased
Cross-currency swap	1	€24,700	$26,775
Foreign currency forward contract	1	£850	€1,000

As of June 30, 2020, the Company had the following outstanding foreign currency derivatives that were used to hedge its net investments in foreign operations:


Foreign Currency Derivative	Number of Instruments	Notional Sold	Notional Purchased
Cross-currency swap	2	€76,969	$83,225

Derivative Financial Instruments and Classification on Consolidated Balance Sheets

The following table presents the fair value of the Company’s derivative financial instruments as well as their classification on the Consolidated Balance Sheet as of June 30, 2020:


	Asset Derivatives				Liability Derivatives
	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
Derivatives designated as hedging instruments:
Interest rate swaps	Prepaid expenses and other current assets	$	—	Accrued expenses and other current liabilities / Other noncurrent liabilities	$	856
Cross-currency swaps	Prepaid expenses and other current assets	746		Other noncurrent liabilities	5,475
Foreign currency forward contracts	Prepaid expenses and other current assets	75		Other noncurrent liabilities	—
Total derivatives designated as hedging instruments		821			6,331

Derivatives not designated as hedging instruments:
Foreign currency forward contracts	Prepaid expenses and other current assets	193		Accrued expenses and other current liabilities	74
Total derivative instruments		$	1,014		$	6,405

The following table presents the fair value of the Company’s derivative financial instruments as well as their classification on the Consolidated Balance Sheet as of June 30, 2019:


	Asset Derivatives				Liability Derivatives
	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
Derivatives designated as hedging instruments:
Foreign currency forward contracts	Prepaid expenses and other current assets	$	83	Other noncurrent liabilities	$	103
Total derivatives designated as hedging instruments		83			103

Derivatives not designated as hedging instruments:
Foreign currency forward contracts	Prepaid expenses and other current assets	543		Accrued expenses and other current liabilities	—
Total derivative instruments		$	626		$	103

Pre-Tax Effect of Cash Flow Hedge Accounting on Accumulated Other Comprehensive Loss

The following table presents the pre-tax effect of cash flow hedge accounting on Accumulated other comprehensive loss as of June 30, 2020, 2019 and 2018:


Derivatives in Cash Flow Hedging Relationships	Amount of Gain (Loss) Recognized in OCI on Derivatives											Location of Gain (Loss) Reclassified from Accumulated OCL into Income	Amount of Gain (Loss) Reclassified from Accumulated OCL into Income
	Fiscal Year Ended June 30,												Fiscal Year Ended June 30,
	2020		2019		2018			2020		2019			2018
Interest rate swaps	$	(817)	$	—	$	—	Interest and other financing expense, net	$	(40)	$	—		$	—
Cross-currency swaps	(1,069)		—		—		Interest and other financing expense, net / Other expense (income), net	927		—			—
Foreign currency forward contracts	95		113		45		Cost of sales	(103)		(30)			(127)
Total	$	(1,791)	$	113	$	45		$	784	$	(30)		$	(127)

Pre-Tax Effect of Derivative Financial Instruments Electing Cash Flow Hedge Accounting on Consolidated Statements of Operations

The following table presents the pre-tax effect of the Company’s derivative financial instruments electing cash flow hedge accounting on the Consolidated Statements of Operations as of June 30, 2020 and 2019:


				Location and Amount of Gain (Loss) Recognized in the Consolidated Statement of Operations on Cash Flow Hedging Relationships
				Fiscal Year Ended June 30, 2020										Fiscal Year Ended June 30, 2019
				Cost of sales		Interest and other financing expense, net		Other expense (income), net		Cost of sales		Interest and other financing expense, net		Other expense (income), net
The effects of cash flow hedging:
	Gain (loss) on cash flow hedging relationships
		Interest rate swaps
			Amount of gain (loss) reclassified from accumulated OCL into income	$	—	$	40	$	—	$	—	$	—	$	—

		Cross-currency swaps
			Amount of gain (loss) reclassified from accumulated OCL into income	$	—	$	32	$	(959)	$	—	$	—	$	—

		Foreign currency forward contracts
			Amount of gain (loss) reclassified from accumulated OCL into income	$	103	$	—	$	—	$	30	$	—	$	—

Pre-Tax Effect of Net Investment Hedges on Accumulated Other Comprehensive Loss and the Consolidated Statements of Operations

The following table presents the pre-tax effect of the Company’s net investment hedges on Accumulated other comprehensive loss and the Consolidated Statements of Operations as of June 30, 2020, 2019 and 2018:


Derivatives in Net Investment Hedging Relationships	Amount of Gain (Loss) Recognized in OCI on Derivatives											Location of Gain (Loss) Recognized in Income on Derivatives (Amount Excluded from Effectiveness Testing)	Amount of Gain (Loss) Recognized in Income on Derivatives (Amount Excluded from Effectiveness Testing)
	Fiscal Year Ended June 30,												Fiscal Year Ended June 30,
	2020		2019		2018			2020		2019			2018
Cross-currency swaps	$	(3,529)	$	—	$	—	Interest and other financing expense, net	$	98	$	—		$	—

Pre-Tax Effect of Derivative Financial Instruments Not Designated as Hedging Instruments on the Consolidated Statements of Operations

The following table presents the effect of the Company’s derivative financial instruments that are not designated as hedging instruments on the Consolidated Statements Operations as of June 30, 2020, 2019 and 2018:


Derivatives Not Designated as Hedging Instruments	Location of Gain (Loss) Recognized in Income on Derivative	Amount of Gain (Loss) Recognized in Income on Derivatives
		Fiscal Year Ended June 30,
		2020		2019		2018
Foreign currency forward contracts	Other expense (income), net	$	119	$	440	$	337

- Definition

Tabular disclosure of pertinent information about a derivative or group of derivatives on a disaggregated basis, such as for individual instruments, or small groups of similar instruments. May include a combination of the type of instrument, risks being hedged, notional amount, hedge designation, related hedged item, inception date, maturity date, or other relevant item.

+ References

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+ Details