Note 4 - Supplemental Financial Statement Information

12 Months Ended

Nov. 30, 2019

Notes to Financial Statements

Additional Financial Information Disclosure [Text Block]

Note 4: Supplemental Financial Statement Information

Statement of Income Information

Additional details of income statement amounts for 2019, 2018 and 2017 follow.

	2019			2018			2017
Foreign currency transaction losses, net	$	(1,156	)	$	(4,450	)	$	(2,411	)
Gain on disposal of assets		24,304			2,177			22
Other, net 1		14,795			20,328			(16,765	)
Total other income (expense), net	$	37,943		$	18,055		$	(19,154	)
Research and development expenses (included in SG&A expenses)	$	36,624		$	35,534		$	30,072

¹ 2017 includes a make whole premium of $25,535 paid on the refinancing of our long-term debt. See Note 6 for further information.

Balance Sheet Information

Additional details of balance sheet amounts as of November 30, 2019 and December 1, 2018 follow.

Inventories	2019			2018
Raw materials	$	150,338		$	169,228
Finished goods		186,929			179,233
Total inventories	$	337,267		$	348,461
Other current assets
Other receivables	$	26,258		$	26,542
Prepaid income taxes		23,112			31,899
Prepaid taxes other than income taxes		16,836			16,718
Prepaid expenses		20,862			19,161
Assets held for sale		3,655			1,337
Total other current assets	$	90,723		$	95,657
Property, plant and equipment
Land	$	79,631		$	79,745
Buildings and improvements		362,114			369,072
Machinery and equipment		808,154			815,084
Construction in progress		54,332			39,689
Total, at cost		1,304,231			1,303,590
Accumulated depreciation		(674,418	)		(667,041	)
Net property, plant and equipment	$	629,813		$	636,549
Other assets
Investments and company owned life insurance	$	8,870		$	8,596
Equity method investments		53,696			51,454
Equity investments		1,667			1,669
Long-term deferred income taxes		29,037			27,112
Prepaid pension costs		28,759			37,881
Prepaid postretirement other than pension		58,307			48,872
Other long-term receivables		46,887			46,755
Other long-term assets		14,129			14,185
Total other assets	$	241,352		$	236,524
Other accrued expenses
Taxes other than income taxes	$	15,031		$	16,592
Miscellaneous services		5,541			7,694
Customer rebates		11,293			10,082
Interest		4,572			5,996
Insurance		178			401
Product liability		978			1,249
Contingent consideration liability		3,400			3,610
Accrued expenses		19,752			30,164
Total other accrued expenses	$	60,745		$	75,788
Other liabilities
Asset retirement obligations	$	2,952		$	3,646
Long-term deferred income taxes		177,530			214,295
Long-term income tax liability		10,088			9,609
Long-term deferred compensation		6,929			5,974
Postretirement other than pension		2,879			2,603
Environmental liabilities		4,657			5,183
Other long-term liabilities		37,155			23,458
Total other liabilities	$	242,190		$	264,768

Additional details on the trade receivables allowance for doubtful accounts, credits related to pricing or quantities shipped and early payment discounts for 2019, 2018 and 2017 are as follows:

	2019			2018			2017
Balance at beginning of year	$	14,017		$	11,670		$	12,310
Charged to expenses and other adjustments		2,678			6,445			744
Write-offs		(5,947	)		(2,187	)		(1,546	)
Foreign currency translation effect		(66	)		(1,911	)		162
Balance at end of year	$	10,682		$	14,017		$	11,670

Statement of Comprehensive Income Information

The following tables provides details of total comprehensive income (loss):

	November 30, 2019
	H.B. Fuller Stockholders									Non-controlling Interests
	Pretax			Tax			Net			Net
Net income attributable to H.B. Fuller and non-controlling interests		-			-		$	130,817		$	27
Other comprehensive income (loss)
Foreign currency translation adjustment¹	$	(20,409	)		-			(20,409	)		14
Reclassification to earnings:
Defined benefit pension plans adjustment²		(28,635	)		6,807			(21,828	)		-
Interest rate swap³		(46,254	)		11,223			(35,031	)		-
Other cash flow hedges³		14,429			(609	)		13,820			-
Other comprehensive income (loss)	$	(80,869	)	$	17,421			(63,448	)		14
Comprehensive income							$	67,369		$	41

	December 1, 2018
	H.B. Fuller Stockholders									Non-controlling Interests
	Pretax			Tax			Net			Net
Net income attributable to H.B. Fuller and non-controlling interests		-			-		$	171,208		$	24
Other comprehensive income (loss)
Foreign currency translation adjustment¹	$	(71,222	)		-			(71,222	)		(16	)
Reclassification to earnings:
Defined benefit pension plans adjustment²		(3,671	)		701			(2,970	)		-
Interest rate swap³		25,819			(6,048	)		19,771			-
Other cash flow hedges³		(4,047	)		(2,688	)		(6,735	)		-
Other comprehensive loss	$	(53,121	)	$	(8,035	)		(61,156	)		(16	)
Comprehensive income							$	110,052		$	8

	December 2, 2017
	H.B. Fuller Stockholders									Non-controlling Interests
	Pretax			Tax			Net			Net
Net income attributable to H.B. Fuller and non-controlling interests		-			-		$	59,418		$	48
Other comprehensive income (loss)
Foreign currency translation adjustment¹	$	29,297			-			29,297			(9	)
Reclassification to earnings:
Defined benefit pension plans adjustment²		51,282			(16,352	)		34,930			-
Interest rate swap³		3,060			(1,166	)		1,894			-
Other cash flow hedges³		(6,538	)		2,491			(4,047	)		-
Other comprehensive income (loss)	$	77,101		$	(15,027	)		62,074			(9	)
Comprehensive income							$	121,492		$	39

¹ Income taxes are not provided for foreign currency translation relating to indefinite investments in international subsidiaries. The foreign currency translation adjustment for the year ended December 2, 2017 includes the impact of the change in functional currency for our subsidiaries in Latin America.

² Loss reclassified from accumulated other comprehensive income (loss) into earnings as part of net periodic cost related to pension and other postretirement benefit plans is reported in cost of sales and SG&A expenses.

³ Loss reclassified from accumulated other comprehensive income (loss) into earnings is reported in other income (expense), net.

Statement of Total Equity Information

Components of accumulated other comprehensive income (loss) are as follows:

	November 30, 2019
	Total			H.B. Fuller Stockholders			Non- controlling Interests
Foreign currency translation adjustment	$	(147,821	)	$	(147,716	)	$	(105	)
Interest rate swap, net of taxes of ($4,300)		(13,338	)		(13,338	)		-
Cash flow hedges, net of taxes of $21		1,763			1,763			-
Defined benefit pension plans adjustment, net of taxes of $81,891		(165,968	)		(165,968	)		-
Reclassification of AOCI tax effects		(18,341	)		(18,341	)		-
Total accumulated other comprehensive loss	$	(343,705	)	$	(343,600	)	$	(105	)

	December 1, 2018
	Total			H.B. Fuller Stockholders			Non- controlling Interests
Foreign currency translation adjustment	$	(127,398	)	$	(127,307	)	$	(91	)
Interest rate swap, net of taxes of ($7,231)		21,693			21,693			-
Cash flow hedges, net of taxes of $588		(12,057	)		(12,057	)		-
Defined benefit pension plans adjustment, net of taxes of $75,083		(144,140	)		(144,140	)		-
Reclassification of AOCI tax effects		(18,341	)		(18,341	)		-
Total accumulated other comprehensive loss	$	(280,243	)		(280,152	)		(91	)

	December 2, 2017
	Total			H.B. Fuller Stockholders			Non- controlling Interests
Foreign currency translation adjustment	$	(56,159	)	$	(56,084	)	$	(75	)
Interest rate swap, net of taxes of ($1,183)		1,922			1,922			-
Cash flow hedges, net of taxes of $3,276		(5,322	)		(5,322	)		-
Defined benefit pension plans adjustment, net of taxes of $74,382		(141,171	)		(141,171	)		-
Total accumulated other comprehensive loss	$	(200,730	)	$	(200,655	)	$	(75	)