Capital Stock and Share Repurchase

9 Months Ended

May 31, 2021

Note 11. Earnings per Share and Shareholders' Equity

The Company's Board of Directors has authorized the repurchase of shares of the Company's common stock under publicly announced share repurchase programs. Since the inception of the initial share repurchase program in fiscal 2012, the Company has repurchased 22,799,230 shares of common stock for $667.7 million. As of May 31, 2021, the maximum number of shares that may yet be purchased under the programs is 5,200,770 shares. The Company did not repurchase shares in the nine months ended May 31, 2021. During the three months ended May 31, 2020, the Company repurchased 839,789 shares for $17.8 million. The Company repurchased 1,343,662 shares for $27.5 million in the nine months ended May 31, 2020.

The reconciliation between basic and diluted earnings per share is as follows (in thousands, except per share amounts):


	Three Months Ended May 31,				Nine Months Ended May 31,
	2021		2020		2021		2020
Numerator:
Net earnings (loss) from continuing operations	$	25,257	$	(4,930)	$	33,663	$	5,360
Net loss from discontinued operations	(226)		(69)		(852)		(6,076)
Net earnings (loss)	$	25,031	$	(4,999)	32,811		(716)

Denominator:
Weighted average common shares outstanding - basic	60,144		59,826		59,964		60,012
Net effect of dilutive securities - stock based compensation plans	430		—		348		346
Weighted average common shares outstanding - diluted	60,574		59,826		60,312		60,358

Earnings (loss) per common share from continuing operations:
Basic	$	0.42	$	(0.08)	$	0.56	$	0.09
Diluted	$	0.42	$	(0.08)	$	0.56	$	0.09

Loss per common share from discontinued operations:
Basic	$	(0.00)	$	(0.00)	$	(0.01)	$	(0.10)
Diluted	$	(0.00)	$	(0.00)	$	(0.01)	$	(0.10)

Earnings (loss) per common share:
Basic	$	0.42	$	(0.08)	$	0.55	$	(0.01)
Diluted	$	0.41	$	(0.08)	$	0.54	$	(0.01)

Anti-dilutive securities from stock based compensation plans (excluded from earnings per share calculation)	548		2,479		990		1,435

The following table illustrates the changes in the balances of each component of shareholders' equity for the three months ended May 31, 2021 (in thousands):


	Common Stock			Additional Paid-in Capital		Treasury Stock		Retained Earnings		Accumulated Other Comprehensive Loss		Stock Held in Trust		Deferred Compensation Liability		Total Shareholders’ Equity
	Issued Shares	Amount
Balance at February 28, 2021	82,879	$	16,576	$	197,036	$	(667,732)	$	925,451	$	(89,938)	$	(2,996)	$	2,996	$	381,393
Net earnings	—	—		—		—		25,031		—		—		—		25,031
Other comprehensive income, net of tax	—	—		—		—		—		6,538		—		—		6,538
Stock contribution to employee benefit plans and other	5	1		96		—		—		—		—		—		97
Vesting of restricted stock awards	17	3		(3)		—		—		—		—		—		—
Stock based compensation expense	—	—		2,157		—		—		—		—		—		2,157
Stock option exercises	89	18		2,008		—		—		—		—		—		2,026
Tax effect related to net share settlement of equity awards	—	—		(356)		—		—		—		—		—		(356)
Stock issued to, acquired for and distributed from rabbi trust	1	—		25		—		—		—		(3)		3		25
Balance at May 31, 2021	82,991	$	16,598	$	200,963	$	(667,732)	$	950,482	$	(83,400)	$	(2,999)	$	2,999	$	416,911

The following table illustrates the changes in the balances of each component of shareholders' equity for the three months ended May 31, 2020 (in thousands):


	Common Stock			Additional Paid-in Capital		Treasury Stock		Retained Earnings		Accumulated Other Comprehensive Loss		Stock Held in Trust		Deferred Compensation Liability		Total Shareholders’ Equity
	Issued Shares	Amount
Balance at February 29, 2020	82,540	$	16,508	$	189,716	$	(658,017)	$	923,622	$	(117,464)	$	(2,434)	$	2,434	$	354,365
Net earnings	—	—		—		—		(4,999)		—		—		—		(4,999)
Other comprehensive income, net of tax	—	—		—		—		—		(6,586)		—		—		(6,586)
Stock contribution to employee benefit plans and other	6	1		96		—		—		—		—		—		97
Vesting of restricted stock awards	13	3		(3)		—		—		—		—		—		—
Treasury stock repurchases	—	—		—		(9,715)		—		—		—		—		(9,715)
Stock based compensation expense	—	—		3,184		—		—		—		—		—		3,184
Stock option exercises	—	—		—		—		—		—		—		—		—
Tax effect related to net share settlement of equity awards	—	—		(147)		—		—		—		—		—		(147)
Stock issued to, acquired for and distributed from rabbi trust	4	1		82		—		—		—		(83)		83		83
Balance at May 31, 2020	82,563	$	16,513	$	192,928	$	(667,732)	$	918,623	$	(124,050)	$	(2,517)	$	2,517	$	336,282

The following table illustrates the changes in the balances of each component of shareholders' equity for the nine months ended May 31, 2021 (in thousands):


	Common Stock			Additional Paid-in Capital		Treasury Stock		Retained Earnings		Accumulated Other Comprehensive Loss		Stock Held in Trust		Deferred Compensation Liability		Total Shareholders’ Equity
	Issued Shares	Amount
Balance at August 31, 2020	82,594	$	16,519	$	193,492	$	(667,732)	$	917,671	$	(100,724)	$	(2,562)	$	2,562	$	359,226
Net earnings	—	—		—		—		32,811		—		—		—		32,811
Other comprehensive income, net of tax	—	—		—		—		—		17,324		—		—		17,324
Stock contribution to employee benefit plans and other	15	3		276		—		—		—		—		—		279
Vesting of restricted stock awards	272	54		(54)		—		—		—		—		—		—
Stock based compensation expense	—	—		7,384		—		—		—		—		—		7,384
Stock option exercises	89	18		2,008		—		—		—		—		—		2,026
Tax effect related to net share settlement of equity awards	—	—		(2,337)		—		—		—		—		—		(2,337)
Stock issued to, acquired for and distributed from rabbi trust	21	4		194		—		—		—		(437)		437		198
Balance at May 31, 2021	82,991	$	16,598	$	200,963	$	(667,732)	$	950,482	$	(83,400)	$	(2,999)	$	2,999	$	416,911

The following table illustrates the changes in the balances of each component of shareholders' equity for the nine months ended May 31, 2020 (in thousands):


	Common Stock			Additional Paid-in Capital		Treasury Stock		Retained Earnings		Accumulated Other Comprehensive Loss		Stock Held in Trust		Deferred Compensation Liability		Total Shareholders’ Equity
	Issued Shares	Amount
Balance at August 31, 2019	81,919	$	16,384	$	181,213	$	(640,212)	$	915,466	$	(171,672)	$	(3,070)	$	3,070	$	301,179
Net earnings	—	—		—		—		(716)		—		—		—		(716)
Other comprehensive income, net of tax	—	—		—		—		—		51,289		—		—		51,289
Stock contribution to employee benefit plans and other	17	3		351		—		—		—		—		—		354
Vesting of restricted stock awards	462	93		(93)		—		—		—		—		—		—
Treasury stock repurchases	—	—		—		(27,520)		—		—		—		—		(27,520)
Stock based compensation expense	—	—		12,814		—		—		—		—		—		12,814
Stock option exercises	145	29		2,602		—		—		—		—		—		2,631
Tax effect related to net share settlement of equity awards	—	—		(4,210)		—		—		—		—		—		(4,210)
Stock issued to, acquired for and distributed from rabbi trust	20	4		251		—		—		—		553		(553)		255
Adoption of accounting standards	—	—		—		—		3,873		(3,667)		—		—		206
Balance at May 31, 2020	82,563	$	16,513	$	192,928	$	(667,732)	$	918,623	$	(124,050)	$	(2,517)	$	2,517	$	336,282