Derivative Instruments and Hedging Activities

3 Months Ended

Nov. 30, 2019

Derivative Instruments And Hedging Activities Disclosure [Abstract]

Derivative Instruments and Hedging Activities

6. Derivative Instruments and Hedging Activities

As of November 30, 2019, the Company had forward contracts with a notional value of approximately $8.3 million CAD outstanding and recorded the fair value of the contracts of $0.1 million in other long-term assets and $0.1 million in prepaid expenses and other current assets with a corresponding decrease in accumulated other comprehensive loss of $0.2 million, which was recorded net of tax. During the thirteen weeks ended November 30, 2019, the Company reclassified a nominal value from accumulated other comprehensive income to revenue, related to the derivative financial instruments. The gain on these forward contracts that resulted in a decrease to accumulated other comprehensive loss as of November 30, 2019 is expected to be reclassified to revenues prior to its maturity on February 25, 2022.