Summary of Significant Accounting Policies (Tables)

12 Months Ended

Aug. 31, 2018

Accounts receivable - Accounts receivable includes receivables from related parties (see Note 17 – Related Party Transactions) and is stated net of allowance for doubtful accounts of $2.7 million and $1.8 million as of August 31, 2018 and 2017, respectively.


	As of August 31,
(In thousands)	2018			2017			2016
Allowance for doubtful accounts
Balance at beginning of period	$	1,768		$	2,215		$	2,449
Additions, net of reversals		938			370			70
Usage		(54	)		(891	)		(277	)
Currency translation effect		49			74			(27	)

Balance at end of period	$	2,701		$	1,768		$	2,215

Estimated Useful Lives

Depreciation is provided on the straight-line method over estimated useful lives which are as follows:


	Depreciable Life
Buildings and improvements		10 – 25 years
Machinery and equipment		3 – 15 years
Other		3 – 7 years

Components of Accumulated Other Comprehensive Loss, Net of Tax

Accumulated other comprehensive loss - Accumulated other comprehensive loss, net of tax as appropriate, consisted of the following:


(In thousands)	Unrealized Gain (Loss) on Derivative Financial Instruments			Foreign Currency Translation Adjustment			Other			Accumulated Other Comprehensive Loss
Balance, August 31, 2017	$	181		$	(5,366	)	$	(1,094	)	$	(6,279	)
Other comprehensive loss before reclassifications		(197	)		(16,140	)		(335	)		(16,672	)
Amounts reclassified from accumulated other comprehensive loss		(415	)		–			–			(415	)

Balance, August 31, 2018	$	(431	)	$	(21,506	)	$	(1,429	)	$	(23,366	)

Amounts Reclassified out of Accumulated Other Comprehensive Loss

The amounts reclassified out of Accumulated other comprehensive loss into the Consolidated Statements of Income, with the financial statement caption, were as follows:


	Year Ended August 31,						Financial Statement Caption
(In thousands)	2018			2017			Financial Statement Caption
(Gain) loss on derivative financial instruments:
Foreign exchange contracts	$	(716	)	$	3,644		Revenue and Cost of revenue
Interest rate swap contracts		298			1,057		Interest and foreign exchange

		(418	)		4,701		Total before tax
		3			(972	)	Tax benefit

	$	(415	)	$	3,729		Net of tax

Interest and Foreign Exchange

Interest and foreign exchange - Interest and foreign exchange includes foreign exchange transaction gains and losses, amortization of loan fee expense, accretion of debt discounts and external interest expense.


(In thousands)	Years ended August 31,
(In thousands)	2018			2017		2016
Interest and foreign exchange:
Interest and other expense	$	30,946		$	23,519	$	17,268
Foreign exchange (gain) loss		(1,578	)		673		(3,766	)

	$	29,368		$	24,192	$	13,502