Program Development Costs	6 Months Ended
Nov. 30, 2013
Program Development Costs
Program Development Costs	Note 9 — Program Development Costs Our Cargo Systems unit was selected in June 2005 to provide cargo loading systems for the Airbus A400M Military Transport Aircraft (“A400M”). During fiscal 2013, we delivered initial production units to Airbus, and the first revenue-producing unit was delivered in the first quarter of fiscal 2014. We expect our portion of the revenue from this program to be approximately $250 million through fiscal 2020, based on current sales projections of the A400M and the agreed-upon fixed pricing for the items that we are now responsible for under the amended contract. As of November 30, 2013 and May 31, 2013, we have capitalized, net of reimbursements, $129.5 million and $130.9 million, respectively, of costs associated with the engineering and development of the cargo system. Capitalized costs are broken out between current and non-current assets on the Condensed Consolidated Balance Sheets. Current assets include $18.3 million and $6.0 million in Deposits, prepaids and other at November 30, 2013 and May 31, 2013, respectively and non-current assets include $111.2 million and $124.9 million in Capitalized program development costs at November 30, 2013 and May 31, 2013, respectively. Sales and related cost of sales will be recognized on the units of delivery method. In determining the recoverability of the capitalized program development costs, we have made certain judgments and estimates concerning expected revenues and the cost to manufacture the A400M cargo system. Differences between actual results and our assumptions may result in our not fully recovering our program development costs, which could adversely affect our operating results and financial condition.

Note 9 — Program Development Costs

Our Cargo Systems unit was selected in June 2005 to provide cargo loading systems for the Airbus A400M Military Transport Aircraft (“A400M”). During fiscal 2013, we delivered initial production units to Airbus, and the first revenue-producing unit was delivered in the first quarter of fiscal 2014. We expect our portion of the revenue from this program to be approximately $250 million through fiscal 2020, based on current sales projections of the A400M and the agreed-upon fixed pricing for the items that we are now responsible for under the amended contract.

As of November 30, 2013 and May 31, 2013, we have capitalized, net of reimbursements, $129.5 million and $130.9 million, respectively, of costs associated with the engineering and development of the cargo system. Capitalized costs are broken out between current and non-current assets on the Condensed Consolidated Balance Sheets. Current assets include $18.3 million and $6.0 million in Deposits, prepaids and other at November 30, 2013 and May 31, 2013, respectively and non-current assets include $111.2 million and $124.9 million in Capitalized program development costs at November 30, 2013 and May 31, 2013, respectively. Sales and related cost of sales will be recognized on the units of delivery method. In determining the recoverability of the capitalized program development costs, we have made certain judgments and estimates concerning expected revenues and the cost to manufacture the A400M cargo system. Differences between actual results and our assumptions may result in our not fully recovering our program development costs, which could adversely affect our operating results and financial condition.