Property, Plants and Equipment

3 Months Ended

Aug. 31, 2017

Property, Plant and Equipment [Abstract]

Property, Plants and Equipment

Note 4. Property, Plant and Equipment

A summary of the property, plant and equipment for Greystone is as follows:

	August 31, 2017			May 31, 2017
Production machinery and equipment	$	29,439,996		$	27,493,614
Plant buildings and land		5,296,784			5,296,784
Leasehold improvements		327,038			263,710
Furniture and fixtures		392,370			392,371
		35,456,188			33,446,479
Less: Accumulated depreciation and amortization		(14,488,665	)		(13,739,697	)
Net Property, Plant and Equipment	$	20,967,523		$	19,706,782

Production machinery and equipment includes equipment capitalized pursuant to a capital lease in the amount of $5,323,864. The equipment is being amortized using the straight-line method over 10 years.

Production machinery includes deposits on equipment in the amount of $1,678,400 that had not been placed into service as of August 31, 2017. Two plant buildings and land are owned by GRE, a VIE, and have a net book value of $3,099,325 at August 31, 2017.

Depreciation expense including amortization expense related to assets under capital lease for the three months ended August 31, 2017 and 2016 was $748,968 and $518,576, respectively.