Variable Interest Entities and Equity Method Investment (Tables)

6 Months Ended

Jan. 26, 2019

Variable Interest Entities and Equity Method Investment [Abstract]

Financial Position of Variable Interest Entity

The financial position of this VIE as of January 26, 2019 and July 31, 2018 is summarized in the following table.

	January 26, 2019			July 31, 2018
	(in thousands)

Current assets	$	2,525		$	2,359
Noncurrent assets		696			878
Total assets	$	3,221		$	3,237

Current liabilities	$	5,168		$	5,408
Noncurrent liabilities		23			32
Total liabilities		5,191			5,440
Total Ecology and Environment Inc. shareholder’s equity		(864	)		(1,051	)
Noncontrolling interests shareholders’ equity		(1,106	)		(1,152	)
Total shareholders’ equity		(1,970	)		(2,203	)
Total liabilities and shareholders’ equity	$	3,221		$	3,237

Activity Recorded for Equity Method Investment

Activity recorded for the Company’s equity method investment during the six months ended January 26, 2019 and January 27, 2018 is summarized in the following table.

	Six Months Ended
	January 26, 2019		January 27, 2018 (Restated)
	(in thousands)

Equity investment carrying value at beginning of period	$	2,058	$	1,464
GAC net income attributable to EEI		231		239
Equity investment carrying value at end of period	$	2,289	$	1,703

GAC’s financial position as of January 26, 2019 and July 31, 2018 is summarized in the following table.

	January 26, 2019		July 31, 2018
	(in thousands)

Current assets	$	5,017	$	5,713
Noncurrent assets		755		501
Total assets	$	5,772	$	6,214

Current liabilities	$	1,631	$	2,620
Noncurrent liabilities		939		593
Total liabilities		2,570		3,213
Total Ecology and Environment Inc. shareholder’s equity		1,840		1,678
Noncontrolling interests shareholders’ equity		1,362		1,323
Total shareholders’ equity		3,202		3,001
Total liabilities and shareholders’ equity	$	5,772	$	6,214

The results of GAC’s operations for the six months ended January 26, 2019 and January 27, 2018 are summarized in the following table.

	Six Months Ended
	January 26, 2019		January 27, 2018
	(in thousands)

Gross revenue	$	6,147	$	5,267
Direct cost of services and subcontract costs		3,682		3,165
Income from operations		597		611
Net income		419		434
Net income attributable to EEI		231		239

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

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