SUBSEQUENT EVENTS

9 Months Ended

May 31, 2018

NOTE 10 – SUBSEQUENT EVENTS

The Company has evaluated all events subsequent to the balance sheet date of May 31, 2018, through the date of issuance of these consolidated financial statements and has determined that, except as set forth below, there are no subsequent events that require disclosure.

Other Commitments

In June 2018, the Company entered into a lease extension contract in Honduras, which will increase its future minimum lease commitments by approximately $31.6 million. The original lease was due to expire on May 30, 2020.


Years Ended May 31,
2019	$	—
2020		—
2021		1,250
2022		1,250
2023		1,250
Thereafter		27,813
Total	$	31,563

Financing Transactions

On June 15, 2018, the Company entered into a five-year interest rate swap with Scotiabank in which the Company will receive interest based on the three-month LIBOR rate plus 3.00% on a quarterly amortizing initial notional value of U.S. $14.6 million and pay fixed interest of approximately 6.0% on a quarterly amortizing initial notional value of $14.6 million. The derivative instrument requires 57 monthly net settlements of interest.