XML 89 R29.htm IDEA: XBRL DOCUMENT v3.19.3.a.u2
Restructuring (Tables)
 6 Months Ended
Nov. 30, 2019
Restructuring And Related Activities [Abstract]  
Summary of Charges Recorded in Connection with Restructuring by Reportable Segment

Following is a summary of the charges recorded in connection with restructuring by reportable segment:

 

 

 

Three Months

Ended

 

 

Six Months

Ended

 

 

Cumulative

Costs

 

 

Total Expected

 

(in thousands)

 

November 30, 2019

 

 

November 30, 2019

 

 

to Date

 

 

Costs

 

Construction Products Group (“CPG”) Segment:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Severance and benefit costs (a)

 

$

1,447

 

 

$

1,607

 

 

$

12,836

 

 

$

22,146

 

Facility closure and other related costs

 

 

110

 

 

 

798

 

 

 

3,767

 

 

 

4,597

 

Other asset write-offs

 

 

39

 

 

 

39

 

 

 

1,629

 

 

 

2,151

 

Total Charges

 

$

1,596

 

 

$

2,444

 

 

$

18,232

 

 

$

28,894

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performance Coatings Group (“PCG”) Segment:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Severance and benefit costs (b)

 

$

431

 

 

$

2,931

 

 

$

9,344

 

 

$

14,765

 

Facility closure and other related costs

 

 

636

 

 

 

745

 

 

 

4,219

 

 

 

6,638

 

Other asset write-offs

 

 

172

 

 

 

172

 

 

 

523

 

 

 

528

 

Total Charges

 

$

1,239

 

 

$

3,848

 

 

$

14,086

 

 

$

21,931

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consumer Group (“Consumer”) Segment:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Severance and benefit costs (c)

 

$

780

 

 

$

1,547

 

 

$

8,925

 

 

$

12,424

 

Facility closure and other related costs

 

 

344

 

 

 

860

 

 

 

7,552

 

 

 

9,352

 

Other asset write-offs

 

 

-

 

 

 

-

 

 

 

25

 

 

 

25

 

Total Charges

 

$

1,124

 

 

$

2,407

 

 

$

16,502

 

 

$

21,801

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Specialty Products Group (“Specialty”) Segment:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Severance and benefit costs (d)

 

$

48

 

 

$

414

 

 

$

5,750

 

 

$

10,640

 

Facility closure and other related costs

 

 

731

 

 

 

2,190

 

 

 

3,434

 

 

 

6,697

 

Other asset write-offs

 

 

40

 

 

 

104

 

 

 

1,107

 

 

 

1,334

 

Total Charges

 

$

819

 

 

$

2,708

 

 

$

10,291

 

 

$

18,671

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Corporate/Other Segment:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Severance and benefit costs

 

$

23

 

 

$

16

 

 

$

12,136

 

 

$

12,136

 

Total Charges

 

$

23

 

 

$

16

 

 

$

12,136

 

 

$

12,136

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Severance and benefit costs

 

$

2,729

 

 

$

6,515

 

 

$

48,991

 

 

$

72,111

 

Facility closure and other related costs

 

 

1,821

 

 

 

4,593

 

 

 

18,972

 

 

 

27,284

 

Other asset write-offs

 

 

251

 

 

 

315

 

 

 

3,284

 

 

 

4,038

 

Total Charges

 

$

4,801

 

 

$

11,423

 

 

$

71,247

 

 

$

103,433

 

 

(a)

Severance and benefit costs are associated with the elimination of 25 positions and 46 positions during the three and six months ended November 30, 2019, respectively.  

(b)

Severance and benefit costs are associated with the elimination of 18 positions and 69 positions during the three and six months ended November 30, 2019, respectively.

(c)

Severance and benefit costs are associated with the elimination of 9 positions and 11 positions during the three and six months ended November 30, 2019, respectively.

(d)

Severance and benefit costs are associated with the elimination of 49 positions and 59 positions during the three and six months ended November 30, 2019, respectively.

 

 

 

Three Months

Ended

 

 

Six Months

Ended

 

(in thousands)

 

November 30, 2018

 

 

November 30, 2018

 

 

 

 

 

 

 

 

 

 

Construction Products Group (“CPG”) Segment:

 

 

 

 

 

 

 

 

Severance and benefit costs (e)

 

$

3,574

 

 

$

5,993

 

Facility closure and other related costs

 

 

384

 

 

 

397

 

Other asset write-offs

 

 

3

 

 

 

368

 

Total Charges

 

$

3,961

 

 

$

6,758

 

 

 

 

 

 

 

 

 

 

Performance Coatings Group (“PCG”) Segment:

 

 

 

 

 

 

 

 

Severance and benefit costs (f)

 

$

364

 

 

$

4,769

 

Facility closure and other related costs

 

 

483

 

 

 

906

 

Other asset write-offs

 

 

146

 

 

 

359

 

Total Charges

 

$

993

 

 

$

6,034

 

 

 

 

 

 

 

 

 

 

Consumer Group (“Consumer”) Segment:

 

 

 

 

 

 

 

 

Severance and benefit costs (g)

 

$

76

 

 

$

1,095

 

Facility closure and other related costs

 

 

105

 

 

 

105

 

Other asset write-offs

 

 

-

 

 

 

-

 

Total Charges

 

$

181

 

 

$

1,200

 

 

 

 

 

 

 

 

 

 

Specialty Products Group (“Specialty”) Segment:

 

 

 

 

 

 

 

 

Severance and benefit costs (h)

 

$

1,458

 

 

$

3,678

 

Facility closure and other related costs

 

 

65

 

 

 

65

 

Other asset write-offs

 

 

5

 

 

 

5

 

Total Charges

 

$

1,528

 

 

$

3,748

 

 

 

 

 

 

 

 

 

 

Corporate/Other Segment:

 

 

 

 

 

 

 

 

Severance and benefit costs (i)

 

$

1,061

 

 

$

10,060

 

Total Charges

 

$

1,061

 

 

$

10,060

 

 

 

 

 

 

 

 

 

 

Consolidated:

 

 

 

 

 

 

 

 

Severance and benefit costs

 

$

6,533

 

 

$

25,595

 

Facility closure and other related costs

 

 

1,037

 

 

 

1,473

 

Other asset write-offs

 

 

154

 

 

 

732

 

Total Charges

 

$

7,724

 

 

$

27,800

 

 

(e)

Severance and benefit costs are associated with the elimination of 37 positions and 68 positions during the three and six months ended November 30, 2018, respectively.  Additionally, $0.2 million included in the charges incurred during the six months ended November 30, 2018 are associated with the prior elimination of one position within the legal function during fiscal 2018.

(f)

Severance and benefit costs are associated with the elimination of 17 positions and 102 positions during the three and six months ended November 30, 2018, respectively.

(g)

Severance and benefit costs are associated with the elimination of 9 positions during the six months ended November 30, 2018.

(h)

Severance and benefit costs are associated with the elimination of 95 positions and 120 positions during the three and six months ended November 30, 2018, respectively.

(i)

Reflects charges related to the severance of two corporate executives, as well as accelerated vesting of equity awards for two corporate executives, four Specialty segment executives and three CPG segment executives in connection with the aforementioned restructuring activities.
Summary of Activity in Restructuring Reserves

A summary of the activity in the restructuring reserves related to our 2020 MAP to Growth is as follows:

 

(in thousands)

 

Severance and

Benefits Costs

 

 

Facility

Closure and

Other Related

Costs

 

 

Other Asset

Write-Offs

 

 

Total

 

Balance at August 31, 2019

 

$

2,946

 

 

$

9,430

 

 

$

-

 

 

$

12,376

 

Additions charged to expense

 

 

2,729

 

 

 

1,821

 

 

 

251

 

 

 

4,801

 

Cash payments charged against reserve

 

 

(2,109

)

 

 

(5,016

)

 

 

-

 

 

 

(7,125

)

Non-cash charges included above (j)

 

 

-

 

 

 

(155

)

 

 

(251

)

 

 

(406

)

Balance at November 30, 2019

 

$

3,566

 

 

$

6,080

 

 

$

-

 

 

$

9,646

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(in thousands)

 

Severance and

Benefits Costs

 

 

Facility

Closure and

Other Related

Costs

 

 

Other Asset

Write-Offs

 

 

Total

 

Balance at June 1, 2019

 

$

4,837

 

 

$

7,857

 

 

$

-

 

 

 

12,694

 

Additions charged to expense

 

 

6,515

 

 

 

4,593

 

 

 

315

 

 

 

11,423

 

Cash payments charged against reserve

 

 

(7,786

)

 

 

(5,350

)

 

 

-

 

 

 

(13,136

)

Non-cash charges included above (j)

 

 

-

 

 

 

(1,020

)

 

 

(315

)

 

 

(1,335

)

Balance at November 30, 2019

 

$

3,566

 

 

$

6,080

 

 

$

-

 

 

$

9,646

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(in thousands)

 

Severance and Benefits Costs

 

 

Facility Closure and Other Related Costs

 

 

Other Asset Write-Offs

 

 

Total

 

Balance at August 31, 2018

 

$

10,960

 

 

$

5,364

 

 

$

-

 

 

$

16,324

 

Additions charged to expense

 

 

6,533

 

 

 

1,037

 

 

 

154

 

 

 

7,724

 

Cash payments charged against reserve

 

 

(6,013

)

 

 

(1,330

)

 

 

-

 

 

 

(7,343

)

Non-cash charges included above (j)

 

 

(1,053

)

 

 

(2,536

)

 

 

(154

)

 

 

(3,743

)

Balance at November 30, 2018

 

$

10,427

 

 

$

2,535

 

 

$

-

 

 

$

12,962

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(in thousands)

 

Severance and Benefits Costs

 

 

Facility Closure and Other Related Costs

 

 

Other Asset Write-Offs

 

 

Total

 

Balance at June 1, 2018

 

$

9,957

 

 

$

6,184

 

 

$

1,373

 

 

$

17,514

 

Additions charged to expense

 

 

25,595

 

 

 

1,473

 

 

 

732

 

 

 

27,800

 

Cash payments charged against reserve

 

 

(18,588

)

 

 

(1,748

)

 

 

-

 

 

 

(20,336

)

Non-cash charges included above (j)

 

 

(6,537

)

 

 

(3,374

)

 

 

(2,105

)

 

 

(12,016

)

Balance at November 30, 2018

 

$

10,427

 

 

$

2,535

 

 

$

-

 

 

$

12,962

 

 

(j)

Non-cash charges primarily include accelerated vesting of equity awards and asset-write offs.