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Contingent Liabilities and Commitments
6 Months Ended
Nov. 30, 2020
Commitments And Contingencies Disclosure [Abstract]  
Contingent Liabilities and Commitments

NOTE G – Contingent Liabilities and Commitments

Legal Proceedings

We are defendants in certain legal actions.  In the opinion of management, the outcome of these actions, which is not clearly determinable at the present time, would not significantly affect our consolidated financial position or future results of operations.  We also believe that environmental issues will not have a material effect on our capital expenditures, consolidated financial position or future results of operations.

Voluntary Tank Replacement Program

In February 2019, our Structural Composites Industries, LLC subsidiary (“SCI”) agreed to participate in a tank replacement program for specific design sizes of its composite hydrogen fuel tanks, which are integrated into a customer’s hydrogen fuel cells used to fuel material handling equipment, primarily rider pallet jacks in warehouses.  As of November 30, 2020, the Company has a reserve of $4,948,000 related to this matter, which is our best estimate of the remaining direct costs related to the replacement program, which are expected to be paid in the next six months.  The actual cost incurred by the Company related to this matter may vary from the initial estimate.