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ITEM 8—FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10-K

ANNUAL REPORT PURSUANT TO SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT OF 1934

For the fiscal year ended August 31, 2014

Commission File Number: 1-9852

CHASE CORPORATION
(Exact name of registrant as specified in its charter)

Massachusetts	11-1797126
(State or other jurisdiction of incorporation of organization)	(I.R.S. Employer Identification No.)

26 Summer Street, Bridgewater, Massachusetts 02324
(Address of Principal Executive Offices, Including Zip Code)

(508) 819-4200
(Registrant's Telephone Number, Including Area Code)

Securities registered pursuant to section 12(b) of the Act:

Title of Each Class:	Name of Each Exchange on Which Registered
Common Stock ($0.10 Par Value)	NYSE MKT

         Securities registered pursuant to section 12(g) of the Act: None

         Indicate by check mark if the registrant is a well-known seasoned issuer (as defined in Rule 405 of the Securities Act). YES o    NO ý

         Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Exchange Act. YES o    NO ý

         Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months, and (2) has been subject to such filing requirements for the past 90 days. YES ý    NO o

         Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). YES ý    NO o

         Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and will not be contained, to the best of registrant's knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. o

         Indicate by checkmark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer or a smaller reporting company. See the definitions of "large accelerated filer", "accelerated filer" and "smaller reporting company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer o Accelerated filer ý Non-accelerated filer o
(Do not check if a smaller reporting company) Smaller reporting company o

         Indicate by checkmark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). YES o    NO ý

         The aggregate market value of the common stock held by non-affiliates of the registrant, as of February 28, 2014 (the last business day of the registrant's second quarter of fiscal 2014), was approximately $203,473,000.

         As of October 31, 2014, the Company had outstanding 9,129,427 shares of common stock, $.10 par value, which is its only class of common stock.

Documents Incorporated By Reference:

         Portions of the registrant's definitive proxy statement for the Annual Meeting of Shareholders, which is expected to be filed within 120 days after the registrant's fiscal year ended August 31, 2014, are incorporated by reference into Part III hereof.

CHASE CORPORATION

INDEX TO ANNUAL REPORT ON FORM 10-K

For the Year Ended August 31, 2014

		Page No.
PART I
Item 1	Business		2
Item 1A	Risk Factors		7
Item 1B	Unresolved Staff Comments		10
Item 2	Properties		11
Item 3	Legal Proceedings		12
Item 4	Mine Safety Disclosures		12
Item 4A	Executive Officers of the Registrant		12
PART II
Item 5	Market for the Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities		13
Item 6	Selected Financial Data		14
Item 7	Management's Discussion and Analysis of Financial Condition and Results of Operations		15
Item 7A	Quantitative and Qualitative Disclosures About Market Risk		27
Item 8	Financial Statements and Supplementary Data		28
Item 9	Changes in and Disagreements with Accountants on Accounting and Financial Disclosure		68
Item 9A	Controls and Procedures		68
Item 9B	Other Information		69
PART III
Item 10	Directors, Executive Officers and Corporate Governance		70
Item 11	Executive Compensation		70
Item 12	Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters		70
Item 13	Certain Relationships and Related Transactions, and Director Independence		70
Item 14	Principal Accountant Fees and Services		70
PART IV
Item 15	Exhibits and Financial Statement Schedules		71
SIGNATURES			74

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PART I

ITEM 1—BUSINESS

Primary Operating Divisions and Facilities and Industry Segment

        Chase Corporation (the "Company," "Chase," "we," or "us"), founded in 1946, is a leading manufacturer of protective materials for high reliability applications. Our strategy is to maximize the performance of our core businesses and brands while seeking future opportunities through strategic acquisitions. We are organized into two operating segments, an Industrial Materials segment and a Construction Materials segment. The basis for our segmentation is distinguished by the nature of the products we manufacture and how they are delivered to their respective markets. The Industrial Materials segment represents our specified products which are used in or integrated into another company's product with demand dependent upon general economic conditions. The Construction Materials segment reflects our construction project oriented product offerings which are primarily sold and used as "Chase" branded products in final form. Our manufacturing facilities are distinct to their respective segments with the exception of our O'Hara Township, PA and Blawnox, PA facilities, which produce products related to both operating segments. A summary of our operating structure as of August 31, 2014 is as follows:

INDUSTRIAL MATERIALS SEGMENT

Key Products	Primary Manufacturing Location(s)	Background/History
Specialty tapes and related products for the electronic and telecommunications industries using the brand name Chase & Sons®. Insulating and conducting materials for the manufacture of electrical and telephone wire and cable, electrical splicing, and terminating and repair tapes, which are marketed to wire and cable manufacturers and public utilities. PaperTyger® a trademark for laminated durable papers sold to the envelope converting and commercial printing industries, was acquired by us in 2003.	Oxford, MA	In August 2011, we moved our manufacturing processes that had been previously conducted at our Webster, MA facility to this location. In December 2012, we moved the majority of our manufacturing processes that had been previously conducted at our Randolph, MA facility to this location. Our Randoph facility was one of our first operating facilities, and had been producing products for the wire and cable industry for more than fifty years.
Chase BLH2OCK®, a water blocking compound sold to the wire and cable industry.	Blawnox, PA	In September 2012, we moved our manufacturing processes of Chase BLH2OCK® that had been previously conducted at our Randolph, MA facility to this location.
Protective conformal coatings under the brand name HumiSeal®, moisture protective electronic coatings sold to the electronics industry.	O'Hara Township, PA	The HumiSeal business and product lines were acquired in the early 1970's.

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Key Products	Primary Manufacturing Location(s)	Background/History
Laminated film foils for the electronics and cable industries and cover tapes essential to delivering semiconductor components via tape and reel packaging.	Pawtucket, RI Lenoir, NC	In June 2012, we acquired all of the capital stock of NEPTCO Incorporated.
		In October 2013, we moved the majority of our manufacturing processes that had been conducted at our Taylorsville, NC facility to our Lenoir, NC location.
Pulling and detection tapes used in the installation, measurement and location of fiber optic cables, water and natural gas lines.	Granite Falls, NC
Flexible, rigid and semi-rigid fiber optic strength elements designed to allow fiber optic cables to withstand mechanical and environmental strain and stress.
Cover tapes essential to delivering semiconductor components via tape and reel packaging.	Suzhou, China
Protective conformal coatings under the brand name HumiSeal®, moisture protective electronic coatings sold to the electronics industry.	Winnersh, Wokingham, England	In October 2005, we acquired all of the capital stock of Concoat Holdings Ltd. and its subsidiaries. In 2006 Concoat was renamed HumiSeal Europe.
HumiSeal Europe SARL operates a sales/technical service office and warehouse near Paris. This business works closely with the HumiSeal operation in Winnersh, Wokingham, England allowing direct sales and service to the French market.		In March 2007, we expanded our international presence with the formation of HumiSeal Europe SARL in France.

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CONSTRUCTION MATERIALS SEGMENT

Key Products	Primary Manufacturing Location(s)	Background/History
Protective pipe coating tapes and other protectants for valves, regulators, casings, joints, metals, concrete, and wood which are sold under the brand name Royston®, to oil companies, gas utilities, and pipeline companies.	Blawnox, PA	The Royston business was acquired in the early 1970's.
Rosphalt50® is a polymer additive that provides long term cost effective solutions in many applications such as waterproofing of approaches and bridges, ramps, race tracks, airports and specialty road applications.
Waterproofing sealants, expansion joints and accessories for the transportation, industrial and architectural markets.	O'Hara Township, PA	In April 2005, we acquired certain assets of E-Poxy Engineered Materials. Additionally, in September 2006, we acquired all of the capital stock of Capital Services Joint Systems. Both of these acquisitions were combined to form the Expansion Joints product line which is now manufactured at our O'Hara Township, PA facility.
Manufacturer of technologically advanced products, including the brand Tapecoat®, for demanding anti-corrosion applications in the gas, oil and marine pipeline market segments, as well as tapes and membranes for roofing and other construction related applications.	Evanston, IL	In November 2001, we acquired substantially all of the assets of Tapecoat, a division of T.C. Manufacturing Inc.
Specialized manufacturer of high performance coating and lining systems used worldwide in the liquid storage and containment applications.	Houston, TX	In September 2009, we acquired all of the outstanding capital stock of C.I.M. Industries Inc. ("CIM").
Manufacturer of waterproofing and corrosion protection systems for oil, gas and water pipelines and a supplier to Europe, the Middle East and Southeast Asia. This facility joins Chase's North American based Tapecoat® and Royston® brands to broaden the protective coatings product line and better address increasing global demand.	Rye, East Sussex, England	In September 2007, we purchased certain product lines and a related manufacturing facility in Rye, East Sussex, England through our wholly owned subsidiary, Chase Protective Coatings Ltd.
The ServiWrap® product line complements the portfolio of our pipeline protection tapes, coatings and accessories to extend our global customer base.		In December 2009, we acquired the full range of ServiWrap® pipeline protection products ("ServiWrap") from Grace Construction Products Limited, a UK based unit of W.R. Grace & Co.

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Other Business Developments

        On October 31, 2014, we purchased the 50% non-controlling membership interest of NEPTCO JV LLC (the "JV") that had been owned by our now-former joint venture partner, an otherwise unrelated party. The purchase consideration due at the time of closing was not deemed to be material to Chase, and is subject to certain contingent adjustments based on certain future events related to the JV. We also do not believe that these contingent adjustments will be material to us. The purchase was funded entirely with available cash on hand. Because of our controlling financial interest, the JV's assets, liabilities and results of operations have been consolidated within our consolidated financial statements since June 27, 2012, the date Chase acquired NEPTCO. Given our 100% ownership as of October 31, 2014, in subsequent periods we will continue to fully consolidate assets, liabilities and results of operations, but will no longer record an offsetting amount for a non-controlling interest.

Products and Markets

        Our principal products are specialty tapes, laminates, sealants and coatings that are sold by our salespeople, manufacturers' representatives and distributors. In our Industrial Materials segment, these products consist of:

(i)

insulating and conducting materials for the manufacture of electrical and telephone wire and cable, electrical splicing, and terminating and repair tapes, which are marketed to wire and cable manufacturers;



(ii)

laminated film foils, composite strength elements, anti-static packaging tape and pulling tapes for the electronics and cable industries;



(iii)

moisture protective coatings, which are sold to the electronics industry including circuitry used in automobiles and home appliances;



(iv)

laminated durable papers, including laminated paper with an inner security barrier used in personal and mail-stream privacy protection, which are sold primarily to the envelope converting and commercial printing industries;



(v)

pulling and detection tapes used in the installation, measurement and location of fiber optic cables, water and natural gas lines, and power, data, and video cables for commercial buildings;



(vi)

cover tapes with reliable adhesive and anti-static properties essential to delivering semiconductor components via tape and reel packaging; and



(vii)

flexible, rigid and semi-rigid fiber optic strength elements designed to allow fiber optic cables to withstand mechanical and environmental strain and stress.

        In our Construction Materials segment, these products consist of:

(i)

protective pipe coating tapes and other protectants for valves, regulators, casings, joints, metals, concrete and wood, which are sold to oil companies, gas utilities and pipeline companies;



(ii)

protectants for highway bridge deck metal supported surfaces, which are sold to municipal transportation authorities;



(iii)

fluid applied coating and lining systems for use in the water and wastewater industry; and



(iv)

expansion and control joint systems designed for roads, bridges, stadiums and airport runways.

        There is some seasonality in selling products into the construction market as higher demand is often experienced when temperatures are warmer in most of North America (April through October) with less demand occurring when temperatures are colder (typically our second fiscal quarter). We did not introduce any new products requiring an investment of a material amount of our assets during fiscal year 2014.

Employees

        As of October 31, 2014, we employed approximately 667 people (including union employees). We consider our employee relations to be good. In the U.S., we offer our employees a wide array of company-paid benefits, which we believe are competitive relative to others in our industry. In our operations outside the U.S., we offer benefits that may vary from those offered to our U.S. employees due to customary local practices and statutory requirements.

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Backlog, Customers and Competition

        As of October 31, 2014, the backlog of customer orders believed to be firm was approximately $15,453,000. This compared with a backlog of $16,546,000 as of October 31, 2013. The decrease in backlog from the prior year amount is primarily due to an overall decrease in order activity across our North America pipeline and construction product lines. During fiscal 2014, 2013 and 2012, no customer accounted for more than 10% of sales. No material portion of our business is subject to renegotiation or termination of profits or contracts at the election of the United States Federal Government.

        There are other companies that manufacture or sell products and services similar to those made and sold by us. Many of those companies are larger and have greater financial resources than we have. We compete principally on the basis of technical performance, service reliability, quality and price.

Raw Materials

        We obtain raw materials from a wide variety of suppliers with alternative sources of most essential materials available within reasonable lead times.

Patents, Trademarks, Licenses, Franchises and Concessions

        We own the following trademarks that we believe are of material importance to our business: Chase Corporation®, C-Spray (Logo), a trademark used in conjunction with most of the Company's business segment and product line marketing material and communications; HumiSeal®, a trademark for moisture protective coatings sold to the electronics industry; Chase & Sons®, a trademark for barrier and insulating tapes sold to the wire and cable industry; Chase BLH2OCK®, a trademark for a water blocking compound sold to the wire and cable industry; Rosphalt50®, a trademark for an asphalt additive used predominantly on bridge decks for waterproofing protection; PaperTyger®, a trademark for laminated durable papers sold to the envelope converting and commercial printing industries; Tapecoat®, a trademark for corrosion preventative surface coatings and primers; Maflowrap®, a trademark for anti-corrosive tapes incorporating self-adhesive mastic or rubber backed strips, made of plastic materials; Royston®, a trademark for corrosion inhibiting coating composition for use on pipes; Ceva®, a trademark for epoxy pastes/gels/mortars and elastomeric concrete used in the construction industry; CIM® trademarks for fluid applied coating and lining systems used in the water and wastewater industry; ServiWrap® trademarks for pipeline protection tapes, coatings and accessories; NEPTCO®, a trademark used in conjunction with most of NEPTCO's business and product line marketing material and communications; NEPTAPE®, a trademark for coated shielding and insulation materials used in the wire and cable industry; Muletape®, a trademark for pulling and installation tapes sold to the telecommunications industry; and Tracesafe®, a trademark for detection tapes sold to the water and gas industry. We do not have any other material trademarks, licenses, franchises, or concessions. While we do hold various patents, at this time, we do not believe that they are material to the success of our business. We did file one new patent application during this fiscal year under our PaperTyger® product line which is a paper/plastic laminate and electromagnetic shielding material used to protect against identity and property theft.

Working Capital

        We fund our business operations through a combination of available cash and cash equivalents, short-term investments and cash flows generated from operations. In addition, our revolving credit facility is available for additional working capital needs or investment opportunities. We have historically funded acquisitions through additional borrowings and term loans from our bank lenders.

Research and Development

        Approximately $2,599,000, $3,395,000 and $2,958,000 was spent for Company-sponsored research and development during fiscal 2014, 2013 and 2012, respectively. Research and development decreased by $796,000 in fiscal 2014 primarily due to a reduction in the use of outside services and our continued emphasis on streamlining processes.

Available Information

        Chase maintains a website at http://www.chasecorp.com. Our annual reports on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K and amendments to such reports filed or furnished pursuant to

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section 13(a) or 15(d) of the Securities Exchange Act of 1934, as well as section 16 reports on Form 3, 4, or 5, are available free of charge on this site as soon as is reasonably practicable after they are filed or furnished with the SEC. Our Code of Conduct and Ethics and the charters for the Audit Committee, the Nominating and Governance Committee and the Compensation and Management Development Committee of our Board of Directors are also available on our Internet site. The Code of Conduct and Ethics and charters are also available in print to any shareholder upon request. Requests for such documents should be directed to Paula Myers, Shareholder and Investor Relations Department, at 26 Summer Street, Bridgewater, Massachusetts 02324. Our Internet site and the information contained on it or connected to it are not part of or incorporated by reference into this Form 10-K. Our filings with the SEC are also available on the SEC's website at http://www.sec.gov.

Financial Information Regarding Segment and Geographic Areas

        Please see Notes 11 and 12 to the Company's Consolidated Financial Statements for financial information about the Company's operating segments and domestic and foreign operations for each of the last three fiscal years.

ITEM 1A—RISK FACTORS

        The following risk factors should be read carefully in connection with evaluating our business and the forward-looking information contained in this Annual Report on Form 10-K. We feel that any of the following risks could materially adversely affect our business, operations, industry, financial position or our future financial performance. While we believe that we have identified and discussed below the key risk factors affecting our business, there may be additional risks and uncertainties that are not presently known or that are not currently believed to be significant that may adversely affect our business, operations, industry, financial position and financial performance in the future.

We currently operate in mature markets where increases or decreases in market share could be significant.

        Our sales and net income are largely dependent on sales from a consistent and well established customer base. Organic growth opportunities are minimal; however, we have used and will continue to use strategic acquisitions as a means to build and grow the business. In this business environment, increases or decreases in market share could have a material effect on our business condition or results of operation. We face intense competition from a diverse range of competitors, including operating divisions of companies much larger and with far greater resources than we have. If we are unable to maintain our market share, our business could suffer.

Our business strategy includes the pursuit of strategic acquisitions, which may not be successful if they happen at all.

        From time to time, we engage in discussions with potential target companies concerning potential acquisitions. In executing our acquisition strategy, we may be unable to identify suitable acquisition candidates. In addition, we may face competition from other companies for acquisition candidates, making it more difficult to acquire suitable companies on favorable terms.

        Even if we do identify a suitable acquisition target and are able to negotiate and close a transaction, the integration of an acquired business into our operations involves numerous risks, including potential difficulties in integrating an acquired company's product line with ours; the diversion of our resources and management's attention from other business concerns; the potential loss of key employees; limitations imposed by antitrust or merger control laws in the United States or other jurisdictions; risks associated with entering a new geographical or product market; and the day-to-day management of a larger and more diverse combined company. In June 2012, for example, we completed the acquisition of NEPTCO Incorporated, which represented approximately 39% of our consolidated total assets as of the end of fiscal 2012, making it the largest acquisition in the Company's history.

        We may not realize the synergies, operating efficiencies, market position or revenue growth we anticipate from acquisitions and our failure to effectively manage the above risks could have a material adverse effect on our business, growth prospects and financial performance.

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Our results of operations could be adversely affected by uncertain economic and political conditions and the effects of these conditions on our customers' businesses and levels of business activity.

        Global economic and political conditions can affect the businesses of our customers and the markets they serve. A severe or prolonged economic downturn or a negative or uncertain political climate could adversely affect the levels of business activity of our customers and the industries they serve, including the automotive, housing, construction, pipeline, energy, transportation infrastructure and electronics industries. This may reduce demand for our products or depress pricing of those products, either of which may have a material adverse effect on our results of operations. Changes in global economic conditions could also shift demand to products for which we do not have competitive advantages, and this could negatively affect the amount of business that we are able to obtain. In addition, if we are unable to successfully anticipate changing economic and political conditions, we may be unable to effectively plan for and respond to those changes and our business could be negatively affected.

General economic factors, domestically and internationally, may also adversely affect our financial performance through increased raw material costs or other expenses and by making access to capital more difficult.

        The cumulative effect of higher interest rates, energy costs, inflation, levels of unemployment, healthcare costs, unsettled financial markets, and other economic factors could adversely affect our financial condition by increasing our manufacturing costs and other expenses at the same time that our customers may be scaling back demand for our products. Prices of certain commodity products, including oil and petroleum-based products, are historically volatile and are subject to fluctuations arising from changes in domestic and international supply and demand, labor costs, competition, weather events, market speculation, government regulations and periodic delays in delivery. Rapid and significant changes in commodity prices may affect our sales and profit margins. These factors can increase our merchandise costs and/or selling, general and administrative expenses, and otherwise adversely affect our operating results. Disruptions in the credit markets may limit our ability to access debt capital for use in acquisitions or other purposes on advantageous terms or at all. If we are unable to manage our expenses in response to general economic conditions and margin pressures, or if we are unable to obtain capital for strategic acquisitions or other needs, then our results of operations would be negatively affected.

Fluctuations in the supply and prices of raw materials may negatively impact our financial results.

        We obtain raw materials needed to manufacture our products from a number of suppliers. Many of these raw materials are petroleum-based derivatives. Under normal market conditions, these materials are generally available on the open market and from a variety of producers. From time to time, however, the prices and availability of these raw materials fluctuate, which could impair our ability to procure necessary materials, or increase the cost of manufacturing our products. If the prices of raw materials increase, and we are unable to pass these increases on to our customers, we could experience reduced profit margins.

If our products fail to perform as expected, or if we experience product recalls, we could incur significant and unexpected costs and lose existing and future business.

        Our products are complex and could have defects or errors presently unknown to us, which may give rise to claims against us, diminish our brands or divert our resources from other purposes. Despite testing, new and existing products could contain defects and errors and may in the future contain manufacturing or design defects, errors or performance problems when first introduced, or even after these products have been used by our customers for a period of time. These problems could result in expensive and time-consuming design modifications or warranty charges, changes to our manufacturing processes, product recalls, significant increases in our maintenance costs, or exposure to liability for damages, any of which may result in substantial and unexpected expenditures, require significant management attention, damage our reputation and customer relationships, and adversely affect our business, our operating results and our cash flow.

We are dependent on key personnel.

        We depend significantly on our executive officers including our Chairman and Chief Executive Officer, Peter R. Chase, and our President and Chief Operating Officer, Adam P. Chase, and on other key employees. The loss of the services of any of these key employees could have a material impact on our business and results of operations. In addition, our acquisition strategy will require that we attract, motivate and retain additional skilled and experienced

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personnel. The inability to satisfy such requirements could have a negative impact on our ability to remain competitive in the future. We have recently announced a transition plan under which we expect Peter R. Chase to become Executive Chairman and Adam P. Chase to become Chief Executive Officer, subject to board approval at the time, effective with our annual meeting of shareholders in 2015.

If we cannot successfully manage the unique challenges presented by international markets, we may not be successful in expanding our international operations.

        Our strategy includes expansion of our operations in existing and new international markets by selective acquisitions and strategic alliances. Our ability to successfully execute our strategy in international markets is affected by many of the same operational risks we face in expanding our U.S. operations. In addition, our international expansion may be adversely affected by our ability to identify and gain access to local suppliers as well as by local laws and customs, legal and regulatory constraints, political and economic conditions and currency regulations of the countries or regions in which we currently operate or intend to operate in the future. Risks inherent in our international operations also include, among others, the costs and difficulties of managing international operations, adverse tax consequences and greater difficulty in enforcing intellectual property rights. Additionally, foreign currency exchange rates and fluctuations may have an impact on future costs or on future cash flows from our international operations.

We may experience difficulties in the redesign and consolidation of our manufacturing facilities which could impact shipments to customers, product quality, and our ability to realize cost savings.

        We currently have several ongoing projects to streamline our manufacturing operations, which include the redesign and consolidation of certain manufacturing facilities. We anticipate a reduction of overhead costs as a result of these projects, to the extent that we can effectively leverage assets, personnel, and business processes in the transition of production among manufacturing facilities. However, uncertainty is inherent within the facility redesign and consolidation process, and unforeseen circumstances could offset the anticipated benefits, disrupt service to customers, and impact product quality.

Financial market performance may have a material adverse effect on our pension plan assets and require additional funding requirements.

        Significant and sustained declines in the financial markets may have a material adverse effect on the fair market value of the assets of our pension plans. While these pension plan assets are considered non-financial assets since they are not carried on our balance sheet, the fair market valuation of these assets could impact our funding requirements, funded status or net periodic pension cost. Any significant and sustained declines in the fair market value of these pension assets could require us to increase our funding requirements, which would have an impact on our cash flow, and could also lead to additional pension expense.

Regulations related to conflict minerals could adversely impact our business.

        The Dodd-Frank Wall Street Reform and Consumer Protection Act contains provisions to improve transparency and accountability concerning the supply of certain minerals, known as "conflict minerals" (tin, tungsten, tantalum, and gold). As a result, the SEC has adopted annual disclosure and reporting requirements concerning the supply chain for those public companies that use conflict minerals that are necessary to the functionality or production of their products. These requirements require companies to perform certain reasonable country of origin and due diligence exercises to determine if any of their sourced conflict minerals originated from the Democratic Republic of Congo (DRC) and adjoining countries. We filed our first report under these rules in May 2014, to cover calendar year 2013, and anticipate filing reports on this matter on or prior to the annual May 31 due date going forward.

        There are costs associated with complying with these annual disclosure requirements, including ongoing due diligence to determine the sources of conflict minerals used in our products and other potential changes to products, processes or sources of supply as a consequence of such verification activities. Continued adherence to these rules, and Chase's desire to obtain and maintain a DRC Conflict Free status, could adversely affect the sourcing, supply and pricing of materials used in our products. As there may be only a limited number of suppliers offering conflict free conflict minerals, we cannot be sure that we will be able to obtain necessary conflict minerals from such suppliers in sufficient quantities or at competitive prices. Also, we may face reputational challenges if we determine that certain of our products contain minerals not determined to be conflict free or if we are unable to

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sufficiently verify the origins for all conflict minerals used in our products through the procedures we may implement. In addition, some of our customers may choose to disqualify us as a supplier if we are unable to verify that any conflict minerals used in our products are not sourced from the covered countries or are not done so by conflict free certified refiners and smelters.

Failure or compromise of security with respect to an operating or information system or portable electronic device could adversely affect our results of operations and financial condition or the effectiveness of our internal controls over operations and financial reporting.

        We are highly dependent on automated systems to record and process our daily transactions and certain other components of our financial statements. We could experience a failure of one or more of these systems, or a compromise of our security due to technical system flaws, data input or record-keeping errors, or tampering or manipulation of our systems by employees or unauthorized third parties. Information security risks also exist with respect to the use of portable electronic devices, such as laptops and smartphones, which are particularly vulnerable to loss and theft. We may also be subject to disruptions of any of these systems arising from events that are wholly or partially beyond our control (for example, natural disasters, acts of terrorism, epidemics, computer viruses, and electrical/telecommunications outages). All of these risks are also applicable wherever we rely on outside vendors to provide services. Operating system failures, disruptions, or the compromise of security with respect to operating systems or portable electronic devices could subject us to liability claims, harm our reputation, interrupt our operations, or adversely affect our internal control over financial reporting, business, results from operations, financial condition or cash flow.

ITEM 1B—UNRESOLVED STAFF COMMENTS

        Not applicable

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ITEM 2—PROPERTIES

        We own and lease office and manufacturing properties as outlined in the table below.

Location	Square Feet		Owned / Leased		Principal Use
Bridgewater, MA		5,200		Owned	Corporate headquarters and executive office
Westwood, MA		20,200		Leased	Global Operations Center including research and development, sales and administrative services
Randolph, MA		77,500		Owned	We ceased manufacturing of products at this location effective December 2012, and this facility is currently being used for storage of inventory and fixed assets.
Oxford, MA		73,600		Owned	Manufacture of tape and related products for the electronic and telecommunications industries, as well as laminated durable papers
Paterson, NJ		40,000		Owned/Leased	We own the building and lease the land from the landowner. Currently, the building is being leased to a tenant and the land is being sub-leased.
Blawnox, PA		44,000		Owned	Manufacture and sale of protective coatings and tape products
O'Hara Township, PA		109,000		Owned	Manufacture and sale of protective electronic coatings, expansion joints and accessories
Evanston, IL		100,000		Owned	Manufacture and sale of protective coatings and tape products
Houston, TX		45,000		Owned	Manufacture of coating and lining systems for use in liquid storage and containment applications
Pawtucket, RI		70,400		Owned	Manufacture and sale of laminated film foils for the electronics and cable industries, and offices for sales and administrative services
Granite Falls, NC		108,000		Owned	Manufacture and sale of pulling and detection tapes, and fiber optic strength elements, as well as research and development services
Lenoir, NC		110,000		Owned	Manufacture and sale of laminated film foils and cover tapes
Winnersh, Wokingham, England		18,800		Leased	Manufacture and sale of protective electronic coatings
Rye, East Sussex, England		36,600		Owned	Manufacture and sale of protective coatings and tape products
Paris, France		1,350		Leased	Sales/technical service office and warehouse allowing direct sales and service to the French market
Mississauga, Canada		2,500		Leased	Distribution center for Canadian market supply chain demands
Rotterdam, Netherlands		2,500		Leased	Distribution center for European market supply chain demands
Suzhou, China		48,000		Leased	Manufacture of packaging tape products for the electronics industries

        The above facilities range in age from new to about 100 years, are generally in good condition and, in the opinion of management, adequate and suitable for present operations. We also own equipment and machinery that is in good repair and, in the opinion of management, adequate and suitable for present operations. We could significantly add to our capacity by increasing shift operations. Availability of machine hours through additional shifts would provide expansion of current product volume without significant additional capital investment.

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ITEM 3—LEGAL PROCEEDINGS

        We are involved from time to time in litigation incidental to the conduct of our business. Although we do not expect that the outcome in any of these matters, individually or collectively, will have a material adverse effect on our financial condition, results of operations or cashflows, litigation is inherently unpredictable. Therefore, judgments could be rendered or settlements entered, that could adversely affect our operating results or cash flows in a particular period. We routinely assess all of our litigation and threatened litigation as to the probability of ultimately incurring a liability, and record our best estimate of the ultimate loss in situations where we assess the likelihood of loss as probable.

ITEM 4—MINE SAFETY DISCLOSURES

        Not applicable.

ITEM 4A—EXECUTIVE OFFICERS OF THE REGISTRANT

        The following table sets forth information concerning our Executive Officers as of October 31, 2014. Each of our Executive Officers is selected by our Board of Directors and holds office until his successor is elected and qualified.

Name	Age		Offices Held and Business Experience during the Past Five Years
Peter R. Chase		66	Chairman of the Board of the Company since February 2007, and Chief Executive Officer of the Company since September 1993.
Adam P. Chase		42	President of the Company since January 2008, Chief Operating Officer of the Company since February 2007. Adam Chase is the son of Peter Chase.
Kenneth J. Feroldi		58	Chief Financial Officer and Treasurer of the Company since September 2014. Previously Director of Finance for the Company, prior to which he served as Vice President—Finance, Chief Financial Officer and Treasurer of NEPTCO, Inc. from 1992 until 2012 when NEPTCO was acquired by the Company.

        In October 2014, Chase Corporation announced that as part of the Company's succession plan, effective with its annual meeting of shareholders scheduled for February 3, 2015, and subject to final board approval at that time, Adam P. Chase, its current President and Chief Operating Officer, will be named Chief Executive Officer and Peter R. Chase, its current Chairman and Chief Executive Officer, will be named Executive Chairman.

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PART II

ITEM 5—MARKET FOR THE REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES

        Our common stock is traded on the NYSE MKT under the symbol CCF. As of October 31, 2014, there were 380 shareholders of record of our Common Stock and we believe that there were approximately 3,394 beneficial shareholders who held shares in nominee name. On that date, the closing price of our common stock was $35.87 per share as reported by the NYSE MKT.

        The following table sets forth the high and low daily sales prices for our common stock as reported by the NYSE MKT for each quarter in the fiscal years ended August 31, 2014 and 2013:

	Fiscal 2014				Fiscal 2013
	High		Low		High		Low
First Quarter	$	32.00	$	26.13	$	19.00	$	15.51
Second Quarter		36.76		29.17		19.68		17.02
Third Quarter		33.74		28.21		19.94		16.98
Fourth Quarter		36.19		28.85		30.75		19.52

        Single annual cash dividend payments were declared and scheduled to be paid subsequent to year end in the amounts of $0.60, $0.45, and $0.40 per common share, for the years ended August 31, 2014, 2013 and 2012, respectively. Certain of our borrowing facilities contain financial covenants which may have the effect of limiting the amount of dividends that we can pay.

Comparative Stock Performance

        The following line graph compares the yearly percentage change in our cumulative total shareholder return on the Common Stock for the last five fiscal years with the cumulative total return on the Standard & Poor's 500 Stock Index (the "S&P 500 Index"), and a composite peer index that is weighted by market equity capitalization (the "Peer Group Index"). The companies included in the Peer Group Index are American Biltrite Inc., Circor International Inc., H.B. Fuller Company, Quaker Chemical Corporation and RPM International, Inc. Cumulative total returns are calculated assuming that $100 was invested on August 31, 2009 in each of the Common Stock, the S&P 500 Index and the Peer Group Index, and that all dividends were reinvested.

	2009		2010		2011		2012		2013		2014
Chase Corp	$	100	$	113	$	116	$	152	$	284	$	344
S&P 500 Index	$	100	$	105	$	124	$	147	$	174	$	218
Peer Group Index	$	100	$	108	$	135	$	177	$	236	$	316

        The information under the caption "Comparative Stock Performance" above is not deemed to be "filed" as part of this Annual Report, and is not subject to the liability provisions of Section 18 of the Securities Exchange Act of 1934. Such information will not be deemed to be incorporated by reference into any filing we make under the Securities Act of 1933 unless we explicitly incorporate it into such a filing at the time.

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ITEM 6—SELECTED FINANCIAL DATA

        The following selected financial data should be read in conjunction with "Item 7—Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Item 8—Financial Statements and Supplementary Data."

	Fiscal Years Ended August 31,
	2014		2013		2012		2011		2010
	(In thousands, except per share amounts)
Statement of Operations Data
Revenues from continuing operations	$	224,006	$	216,062	$	148,919	$	123,040	$	118,743
Income from continuing operations, net of taxes	$	26,523	$	16,740	$	9,264	$	10,931	$	10,726
Income from discontinued operations, net of taxes		—		—		—		—		1,790
Net income	$	26,523	$	16,740	$	9,264	$	10,931	$	12,516
Add: net loss attributable to non-controlling interest		108		474		74		—		—
Net income attributable to Chase Corporation	$	26,631	$	17,214	$	9,338	$	10,931	$	12,516
Net income available to common shareholders, per common and common equivalent share:
Basic:
Continuing operations	$	2.92	$	1.90	$	1.03	$	1.22	$	1.22
Discontinued operations		—		—		—		—		0.20
Net income per common and common equivalent share	$	2.92	$	1.90	$	1.03	$	1.22	$	1.42
Diluted:
Continuing operations	$	2.86	$	1.87	$	1.03	$	1.22	$	1.21
Discontinued operations		—		—		—		—		0.20
Net income per common and common equivalent share	$	2.86	$	1.87	$	1.03	$	1.22	$	1.41
Balance Sheet Data
Total assets	$	245,545	$	224,360	$	214,832	$	128,909	$	123,201
Long-term debt		51,800		58,800		64,400		8,267		12,667
Total stockholders' equity		137,490		113,860		99,645		91,880		81,531
Cash dividends paid per common and common equivalent share	$	0.45	$	0.40	$	0.35	$	0.35	$	0.20

        The Electronic Manufacturing Services business was sold in June 2010 and the financial results of this previously reported segment are classified as discontinued operations in the above financial data schedule.

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ITEM 7—MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

        The following discussion provides an analysis of our financial condition and results of operations and should be read in conjunction with the Consolidated Financial Statements and notes thereto included in Item 8 of this Annual Report on Form 10-K.

Selected Relationships within the Consolidated Statements of Operations

	Years Ended August 31,
	2014			2013			2012
	(Dollars in thousands)
Revenues	$	224,006		$	216,062		$	148,919
Net income	$	26,523		$	16,740		$	9,264
Add: net loss attributable to non-controlling interest		108			474			74
Net income attributable to Chase Corporation	$	26,631		$	17,214		$	9,338
Increase in revenues from prior year
Amount	$	7,944		$	67,143		$	25,879
Percentage		4	%		45	%		21	%
Increase/(Decrease) in net income, net of taxes from prior year
Amount	$	9,783		$	7,476		$	(1,667	)
Percentage		58	%		80	%		(15	)%
Percentage of revenues:
Revenues		100	%		100	%		100	%
Expenses:
Cost of products and services sold		65	%		68	%		68	%
Selling, general and administrative expenses		19			20			21
Acquisition related costs		—			—			2
Other (income)		(2	)		—			—
Income before income taxes		18			12			9
Income taxes		6			4			3
Net income		12	%		8	%		6	%

Overview

        Continued strong demand for many of our product areas as well as favorable sales mix contributed to increased revenues and net income over the prior year results. Our strategic diversification was also a contributing factor as several product lines in both of our segments exceeded prior year revenues, offsetting shortfalls from others, which led to revenue growth for the fiscal year. Additionally, our ongoing efforts with production facility consolidation, efficiency improvements and streamlining overhead costs have improved our profitability. The sale of the Company's Insulfab product line in October 2013 significantly contributed to earnings and cash flows earlier in fiscal 2014.

        Revenues from the Industrial Materials segment exceeded prior year results primarily due to strong demand in Europe and Asia for our electronic coatings products, as well as increased sales of our pulling and detection tapes, electronic materials, and power cable products. These increased sales were partially offset by a reduction in demand for our specialty materials products and fiber optic cable component products from our joint venture business.

        Revenues from the Construction Materials segment surpassed the prior year primarily driven by increased demand for pipeline coatings products produced at our Rye, UK facility due to Middle East project demand, as well as increased sales of our coating and lining system products over the final half of the fiscal year. These increases were partially offset by decreased sales of our private label products and bridge & highway construction products due to the impact of the harsh winter across the U.S. on these businesses.

        In the upcoming fiscal year, we will continue with our global ERP system implementation which was initiated in fiscal 2013 and is scheduled for full company-wide deployment by the end of December 2014. Additionally, consolidation efforts will remain a priority and other key strategies will include a focus on our marketing and product development efforts along with a continued emphasis on identifying potential acquisition targets. Our balance sheet

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continues to remain strong, with cash on hand of $53.2 million and a current ratio of 3.5. Our $15.0 million line of credit is fully available, while the balance of our term debt is $58.8 million.

        The Company has two reportable segments summarized below:

Segment	Product Lines		Manufacturing Focus and Products
Industrial Materials		• Wire and Cable • Electronic Coatings • Specialty Products • Pulling and Detection • Electronic Materials • Structural Composites • Fiber Optic Cable Components (1)	Protective coatings and tape products including insulating and conducting materials for wire and cable manufacturers, moisture protective coatings for electronics and printing services, laminated durable papers, packaging and industrial laminate markets, pulling and detection tapes used in the installation, measurement and location of fiber optic cables, water and natural gas lines, cover tapes essential to delivering semiconductor components via tape and reel packaging, wind energy composite materials and elements; and glass-based strength elements designed to allow fiber optic cables to withstand mechanical and environmental strain and stress.
Construction Materials		• Pipeline • Bridge and Highway • Coating and Lining Systems • Private Label	Protective coatings and tape products including coating and lining systems for use in liquid storage and containment applications, protective coatings for pipeline and general construction applications, high-performance polymeric asphalt additives, and expansion and control joint systems for use in the transportation and architectural markets.

(1)

Through a 50% owned joint venture until October 31, 2014, when we purchased the non-controlling 50% interest.

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Results of Operations

Revenues and Operating Profit by Segment are as follows:

	Revenues		Income Before Income Taxes			% of Revenues
	(Dollars in thousands)
Fiscal 2014
Industrial Materials	$	169,657	$	40,015	(a)		24	%
Construction Materials		54,349		8,157			15	%
	$	224,006		48,172			22	%
Less corporate and common costs				(7,682	)(b)
Income before income taxes			$	40,490
Fiscal 2013
Industrial Materials	$	163,474	$	26,400	(c)		16	%
Construction Materials		52,588		6,463			12	%
	$	216,062		32,863			15	%
Less corporate and common costs				(7,053	)(d)
Income before income taxes			$	25,810
Fiscal 2012
Industrial Materials	$	95,988	$	17,643	(e)		18	%
Construction Materials		52,931		4,913			9	%
	$	148,919		22,556			15	%
Less corporate and common costs				(8,560	)(f)
Income before income taxes			$	13,996

(a)

Includes $5,706 gain on sale of Insulfab product line

(b)

Includes $348 of pension related settlement costs due to the timing of lump sum distributions.

(c)

Includes $564 of expenses related to inventory step up in fair value related to the NEPTCO acquisition and $521 of pension related settlement costs due to the timing of lump sum distributions

(d)

Includes $595 of pension related settlement costs due to the timing of lump sum distributions.

(e)

Includes $828 of expenses related to inventory step up in fair value related to the NEPTCO acquisition and $303 of pension related settlement costs due to the timing of lump sum distributions

(f)

Includes $3,206 in acquisition related expenses, partially offset by a gain of $425 related to Evanston, IL sale leaseback transaction

Total Revenues

        Total revenues in fiscal 2014 increased $7,944,000 or 4% to $224,006,000 from $216,062,000 in the prior year. Revenues in our Industrial Materials segment increased $6,183,000 or 4% to $169,657,000 for the year ended August 31, 2014 compared to $163,474,000 in fiscal 2013. The increase in revenues from our Industrial Materials segment in fiscal 2014 was primarily due to increased sales of: (a) $3,465,000 from our global electronic coatings product line primarily due to higher sales into Europe and Asia; (b) $2,015,000 from our pulling and detection tape products; (c) $1,447,000 from electronic cover tapes; and (d) $1,072,000 from our wire and cable products that are used in energy-related applications. These increases were partially offset by decreased sales of $975,000 from our specialty materials products as well as lower sales of $520,000 from our joint venture fiber optic cable products.

        Revenues from our Construction Materials segment increased $1,761,000 or 3% to $54,349,000 for the year ended August 31, 2014 compared to $52,588,000 for fiscal 2013. The increased sales from our Construction Materials segment in fiscal 2014 was primarily due to increased sales of $5,563,000 in pipeline products produced

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at our Rye, UK facility as a result of higher project related demands in the Middle East. These increases were partially offset by decreased sales of $2,032,000 from our bridge and highway products as well as lower sales of $1,733,000 from our private label products as both experienced slower demand earlier this fiscal year during the winter and spring months due to the impact of the harsh winter across the U.S. on these businesses.

        Royalties and commissions in the Industrial Materials segment were $2,972,000, $2,414,000 and $2,425,000 for the years ended August 31, 2014, 2013 and 2012, respectively. The increase in royalties and commissions in fiscal 2014 over both fiscal 2013 and 2012 was due to increased sales of electronic coating products by our licensed manufacturer in Asia.

        Export sales from domestic operations to unaffiliated third parties were $21,212,000, $22,827,000 and $21,204,000 for the years ended August 31, 2014, 2013 and 2012, respectively. Export sales had a slight decline in fiscal 2014 as compared to fiscal 2013 primarily due to the prior year's inclusion of some large export shipments of our C.I.M. products that were not repeated in fiscal 2014. We do not anticipate any material changes to export sales during fiscal 2015.

        Total revenues in fiscal 2013 increased $67,143,000 or 45% to $216,062,000 from $148,919,000 in the prior year. Revenues in our Industrial Materials segment increased $67,486,000 or 70% to $163,474,000 for the year ended August 31, 2013 compared to $95,988,000 in fiscal 2012. The increase in revenues from our Industrial Materials segment in fiscal 2013 was primarily due to increased sales of: (a) $63,452,000 from NEPTCO product offerings which we acquired in the fourth quarter of fiscal 2012; (b) $3,779,000 from our global electronic coatings product line; and (c) $2,253,000 from our laminated durable paper products. These increases were partially offset by decreased sales in the aerospace and transportation market of $835,000. Revenues from our Construction Materials segment decreased $343,000 or 1% to $52,588,000 for the year ended August 31, 2013 compared to $52,931,000 for fiscal 2012. The decreased sales from our Construction Materials segment in fiscal 2013 was primarily due to reduced sales of $2,266,000 in pipeline products produced at our UK facility as a result of lower project demand primarily in the Middle East, as well as decreased sales of $2,108,000 from our highway construction products. These decreases were partially offset by increased sales of: (a) $2,397,000 from our coating and lining systems; (b) $827,000 from pipeline products produces at our North America facilities; and (c) $805,000 from our private label products due to increased demand from some of our key customers.

Cost of Products and Services Sold

        Cost of products and services sold decreased $842,000 or 1% to $145,193,000 for the fiscal year ended August 31, 2014 compared to $146,035,000 in fiscal 2013. As a percentage of revenues, cost of products and services sold decreased to 65% in fiscal 2014 compared to 68% for fiscal 2013.

        The following table summarizes the relative percentages of costs of products and services sold to revenues for both of our operating segments:

	Fiscal Years Ended August 31,
Cost of products and services sold	2014	2013	2012
Industrial Materials	64%	67%	67%
Construction Materials	68%	68%	69%
Total	65%	68%	68%

        Cost of products and services sold in our Industrial Materials segment was $108,121,000 for the fiscal year ended August 31, 2014 compared to $110,051,000 in fiscal 2013. As a percentage of revenues, cost of products and services sold in this segment decreased to 64% in fiscal 2014 compared to 67% in fiscal 2013. As a percentage of revenues, cost of products and services sold in the Industrial Materials segment decreased primarily due to sales mix as well as cost savings realized from the Company's recent plant consolidation efforts. In the past two years, this segment has benefitted from exiting the Randolph, MA (operations relocated in December 2012) and Taylorsville, NC (Insulfab product line sold in October 2013) facilities and transitioning the remaining manufacturing activities from those two facilities to other domestic Chase facilities. Additionally, in the first three months of fiscal 2013, this segment was impacted by incremental cost of products sold of $564,000 due to the sale of inventory which had a stepped up valuation as part of the NEPTCO acquisition.

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        Cost of products and services sold in our Construction Materials segment was $37,072,000 for the fiscal year ended August 31, 2014 compared to $35,984,000 in fiscal 2013. As a percentage of revenues, cost of products and services sold in the Construction Materials segment remained relatively flat despite increased sales of lower margin products primarily due to management's ability to leverage its fixed overhead costs on a higher revenue base coupled with continued focus and scrutiny on material purchases that helped stabilize margins on many of our key product lines.

        In fiscal 2013, cost of products and services sold increased $44,786,000 or 44% to $146,035,000 for the fiscal year ended August 31, 2013 compared to $101,249,000 in fiscal 2012. As a percentage of revenues, cost of products and services sold remained flat at 68% in fiscal 2013 and fiscal 2012. Cost of products and services sold in our Industrial Materials segment was $110,051,000 for the fiscal year ended August 31, 2013 compared to $64,539,000 in fiscal 2012. As a percentage of revenues, cost of products and services sold in this segment remained relatively flat year over year. The 2013 fiscal year was negatively impacted by the following: (a) a full year of costs of the NEPTCO JV, which has higher cost of products sold as a percentage of revenues, as opposed to the prior year only including two months of the NEPTCO JV costs (acquired in June 2012); (b) expenses of $564,000 due to the fair value inventory step up related to the NEPTCO acquisition; and (c) accrued transition costs of $150,000 related to our move from our Randolph plant. These increases in costs were offset by a more favorable product sales mix in fiscal 2013, as well as the inclusion of the following costs in fiscal 2012: (a) expense of $828,000 due to the fair value inventory step up related to the NEPTCO acquisition; (b) moving expenses of $324,000 related to our plant transition from Webster to Oxford and Camberley to Winnersh; (c) accrued transition costs of $550,000 related to our move from our Randolph plant; and (d) certain supplier inconsistencies that resulted in excess waste and incremental expenses of $345,000 related to the utilization of specialized testing facilities for analyzing incoming raw materials for proper specifications. Cost of products and services sold in our Construction Materials segment was $35,984,000 for the fiscal year ended August 31, 2013 compared to $36,710,000 in fiscal 2012. As a percentage of revenues, cost of products and services sold in the Construction Materials segment decreased slightly due to a positive sales mix earlier in the fiscal year as we had increased sales of higher margin products coupled with decreased sales of lower margin products.

Selling, General and Administrative Expenses

        Selling, general and administrative expenses decreased $596,000 or 1% to $42,640,000 during fiscal 2014 compared to $43,236,000 in fiscal 2013. As a percentage of revenues, selling, general and administrative expenses decreased to 19% of total revenues in fiscal 2014 compared to 20% for fiscal 2013. The percentage decrease is primarily attributable to our continued emphasis on controlling costs, as well as the increased benefit due to the capitalization of internal costs related to our on-going global ERP implementation project. Additionally, the prior year period included an incremental $247,000 of pension related settlement costs due to the timing of lump sum distributions.

        During fiscal 2013, selling, general and administrative expenses increased $13,064,000 or 43% to $43,236,000, compared to $30,172,000 in fiscal 2012. The dollar increase in fiscal 2013 was primarily attributable to increased sales, as well as incremental expenses from NEPTCO, which was acquired in June 2012, and included amortization of additional intangible assets of $2,209,000. Additionally, fiscal 2013 included $595,000 of pension related settlement costs due to the timing of lump sum distributions, as well as $1,700,000 of increased incentive compensation expense due to the fiscal 2013 financial results, increased incentive compensation for NEPTCO employees, and overall plan design. As a percentage of revenues, however, selling, general and administrative expenses decreased to 20% of total revenues in fiscal 2013 compared to 21% for fiscal 2012. The percentage decrease was attributable to management's continued emphasis on controlling costs, including reduced travel, advertising, and other selling related expenses.

        In fiscal 2014, bad debt expense, net of recoveries, was $28,000 compared to fiscal 2013 where we had recoveries of previously identified bad debt that exceeded additions to bad debt expense for the year, resulting in a net gain of $114,000. The gain of $114,000 in fiscal 2013 compared to bad debt expense, net of recoveries, of $155,000 in fiscal 2012. The comparatively higher bad debt expense in fiscal 2012 was primarily due to financial difficulties for some of our international customers, as well as overall increased receivable balances due to higher sales. We continue with our strict adherence to our established credit policies and continue to closely monitor the accounts receivable function while taking a proactive approach to the collections process.

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Acquisition related costs

        In fiscal 2012, we incurred $3,206,000 of acquisition costs related to our acquisition of NEPTCO. This acquisition was accounted for as a business combination in accordance with the accounting standards, and as such all related professional service fees (i.e., banking, legal, accounting, actuarial, etc.) were expensed as incurred during the year ended August 31, 2012.

Interest Expense

        Interest expense decreased $151,000 or 12% to $1,143,000 in fiscal 2014 compared to $1,294,000 in fiscal 2013. The decrease in interest expense in fiscal 2014 as compared to fiscal 2013 is a direct result of a reduction in our overall debt balance through required principal payments made from operating cash flow over the past year. Interest expense increased $896,000 to $1,294,000 in fiscal 2013 compared to $398,000 in fiscal 2012 primarily due to incurring a full year of interest expense on the term note related to the June 2012 acquisition of NEPTCO.

Gain on sale of product line

        On October 7, 2013, we sold substantially all of our property and assets, including intellectual property, comprising the Insulfab product line, to an unrelated buyer. This transaction resulted in a pre-tax book gain of $5,706,000, which was recorded in our fiscal quarter ended November 30, 2013 (the first quarter of our fiscal 2014).

Other (Expense) Income

        Other expense was $246,000 in fiscal 2014 compared to other income of $313,000 in fiscal 2013, a decrease of $559,000. Other (expense) income primarily includes interest income and foreign exchange gains and losses caused by changes in exchange rates on transactions or balances denominated in currencies other than the functional currency of our subsidiaries. The decrease in other expense in fiscal 2014 as compared to the prior year is primarily due to foreign exchange losses driven by the strengthening of the pound sterling against both the euro and US dollar throughout fiscal 2014.

        Other income increased $211,000 to $313,000 in fiscal 2013 compared to $102,000 in fiscal 2012, primarily due to foreign exchange gains driven by the strengthening of the pound sterling during fiscal 2013.

Income Taxes

        The effective tax rate for fiscal 2014 was 34.5% as compared to 35.1% and 33.8% in fiscal 2013 and 2012, respectively. In all three years, we have received the benefit of the domestic production deduction and foreign rate differential. The decreased effective tax rate in fiscal 2014 is primarily due to a more favorable effective state income tax rate and foreign rate differential than realized in fiscal 2013. The effective tax rate of 35.1% for fiscal 2013 compares unfavorably to 2012 primarily due to a less favorable effective state income tax rate than realized in the prior fiscal year.

Non-controlling Interest

        The net loss from non-controlling interest relates to a joint venture in which we have, through our NEPTCO subsidiary, a 50% ownership interest. The joint venture between NEPTCO and its joint venture partner (an otherwise unrelated party) is managed and operated on a day-to-day basis by NEPTCO. The purpose of this joint venture is to combine the elements of each member's fiber optic strength businesses.

Net Income attributable to Chase Corporation

        Net income in fiscal 2014 increased $9,417,000 or 55% to $26,631,000 compared to $17,214,000 in fiscal 2013. The increase in net income in fiscal 2014 is primarily due to the previously mentioned $5,706,000 pre-tax gain that resulted from the sale of the Insulfab product line in October 2013, numerous cost containment initiatives including recent plant consolidation efforts, and the incremental benefit of $236,000 from capitalized internal labor used in our on-going global ERP implementation project. We have capitalized $719,000 of internal costs related to our ERP implementation project for the year to date period compared to $483,000 in the prior year to date period. Additionally, net income in fiscal 2013 was negatively impacted by expenses of $564,000 in inventory fair value step up related to the NEPTCO acquisition, and the acceleration of defined benefit plan settlement costs of $1,223,000 resulting from the timing of lump sum distributions to participants.

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        Net income in fiscal 2013 increased $7,876,000 or 84% to $17,214,000 compared to $9,338,000 in fiscal 2012. The increase in net income in fiscal 2013 was primarily due to the inclusion of NEPTCO, and the favorable mix on product sales as discussed previously. These increases were partially offset by expenses related to the acceleration of defined benefit plan settlement costs of $1,223,000 resulting from the timing of lump sum distributions to participants. Additionally, net income in the prior year period was negatively impacted by the following: (a) $3,206,000 in acquisition related expenses; (b) expenses of $828,000 in inventory fair value step up related to the NEPTCO acquisition; (c) plant transition and moving expenses of $874,000; and (d) accelerated pension settlement charges of $550,000 resulting from the timing of lump sum distributions.

Other Important Performance Measures

        We believe that EBITDA and Adjusted EBITDA are useful performance measures. They are used by our executive management team and board of directors to measure operating performance, to allocate resources, to evaluate the effectiveness of our business strategies and to communicate with our Board of Directors and investors concerning our financial performance. EBITDA and Adjusted EBITDA are non-GAAP financial measures.

        We define EBITDA as follows: net income attributable to Chase Corporation before interest expense from borrowings, income tax expense, depreciation expense from fixed assets, and amortization expense from intangible assets. We define Adjusted EBITDA as EBITDA excluding costs and gains/losses related to our acquisitions and divestitures, costs of products sold related to inventory step-up to fair value, and settlement (gains) or losses resulting from lump sum distributions to participants from our defined benefit plan.

        The use of EBITDA and Adjusted EBITDA has limitations and these performance measures should not be considered in isolation from, or as an alternative to, U.S. GAAP measures such as net income. Our measurement of Adjusted EBITDA may not be comparable to similarly titled measures used by other companies.

        The following table provides a reconciliation of net income attributable to Chase Corporation, the most directly comparable financial measure presented in accordance with U.S. GAAP, to EBITDA and Adjusted EBITDA for the periods presented:

	Years Ended August 31,
	2014			2013		2012
Net income attributable to Chase Corporation	$	26,631		$	17,214	$	9,338
Interest expense		1,143			1,294		398
Income taxes		13,967			9,070		4,775
Depreciation expense		5,692			5,872		3,262
Amortization expense		4,822			4,793		2,710
EBITDA	$	52,255		$	38,243	$	20,483
Acquisition related costs (a)		—			—		3,206
Cost of sale of inventory step-up (b)		—			564		828
Pension curtailment and settlement costs (c)		348			1,223		550
Gain on sale of Insulfab (d)		(5,706	)		—		—
Adjusted EBITDA	$	46,897		$	40,030	$	25,067

(a)

Represents costs related to our June 2012 acquisition of NEPTCO

(b)

Represents expenses related to the step-up in fair value of inventory through purchase accounting from the June 2012 acquisition of NEPTCO

(c)

Represents pension related curtailment and settlement costs due to the timing of lump sum distributions

(d)

Represents gain on sale of Insulfab product line that was completed in October 2013

Liquidity and Sources of Capital

        Our cash balance increased $23,225,000 to $53,222,000 at August 31, 2014 from $29,997,000 at August 31, 2013. The increased cash balance is primarily attributable to the proceeds from the sale of the Insulfab product line in October 2013, as well as from cash from operations, partially offset by payments on: our fiscal 2013 annual dividend, outstanding debt, income taxes, annual incentive compensation and equipment purchases. Of the

21

above noted amounts, $14,575,000 and $10,013,000 were held outside the U.S. by our foreign subsidiaries as of August 31, 2014 and 2013, respectively. Given our cash position in the U.S. and the potential for increased investment and acquisitions in foreign jurisdictions, we do not have a history of repatriating a significant portion of our foreign cash. However, we do not currently take the position that undistributed foreign subsidiaries' earnings are considered to be permanently reinvested. Accordingly, we recognize a deferred tax liability for the estimated future tax effects attributable to temporary differences due to these unremitted earnings. In the event that circumstances should change in the future and we decide to repatriate these foreign amounts to fund U.S. operations, the Company would pay the applicable U.S. taxes on these repatriated foreign amounts to satisfy all previously recorded tax liabilities.

        Our cash balance increased $14,817,000 to $29,997,000 at August 31, 2013 from $15,180,000 at August 31, 2012. This was a result of cash flows generated from operations during the fiscal year, offset by principal payments on outstanding debt, equipment purchases, and payment of our fiscal 2012 annual dividend. Of the above noted amounts, $10,013,000 and $4,826,000 were held outside the U.S. by our foreign subsidiaries as of August 31, 2013 and 2012, respectively.

        Cash provided by operations was $28,606,000 for the year ended August 31, 2014 compared to $28,157,000 in fiscal 2013 and $13,946,000 in fiscal 2012. Cash provided by operations during fiscal 2014 was primarily due to operating income and increased accounts payable due to the timing of vendor payments, offset by increased inventory resulting from strategic purchases of raw materials and increased accounts receivable balances due to higher sales volumes. Cash provided by operations during fiscal 2013 was primarily due to operating income, offset by decreased accrued expenses and increased inventory balances. Cash provided by operations during fiscal 2012 was primarily due to operating income and decreased inventory as a result of higher sales volumes, offset by decreased accounts payable and increased accounts receivable balances.

        The ratio of current assets to current liabilities was 3.5 as of August 31, 2014 compared to 3.1 as of August 31, 2013. The increase in our current ratio at August 31, 2014 was primarily attributable to increases in cash due to the proceeds from the sale of the Insulfab product line in October 2013 and accounts receivable resulting from higher sales volumes, as well as decreases in accrued income taxes due to the timing of tax payments. This was partially offset by an increase to accounts payable due to the timing of some raw material purchases during fiscal 2014.

        Cash provided by investing activities was $4,443,000 for the year ended August 31, 2014 compared to cash used in investing activities of $3,580,000 in fiscal 2013 and $67,090,000 in fiscal 2012. During fiscal 2014, cash provided by investing activities was primarily due to the proceeds from the sale of the Insulfab product line in October 2013, which was partially offset by cash paid for purchases of machinery and equipment at our manufacturing locations. During fiscal 2013, cash used in investing activities was primarily due to $3,043,000 paid for purchases of machinery and equipment at our manufacturing locations, and $354,000 of professional legal services for new patent work that have been capitalized as intangibles. During fiscal 2012, cash used in investing activities was primarily due to payments totaling $62,217,000, net of cash acquired, for the acquisition of NEPTCO and $5,230,000 paid for purchases of machinery and equipment at our manufacturing locations.

        Cash used in financing activities was $10,501,000 for the year ended August 31, 2014 compared to $9,614,000 in fiscal 2013 and cash provided by financing activities of $53,508,000 in fiscal 2012. During both fiscal 2014 and fiscal 2013, cash used in finance activities was primarily due to our annual dividend payment and payments made on the bank loans used to finance our acquisition of NEPTCO. During fiscal 2012, cash provided by financing activities primarily resulted from $70,000,000 in term debt used to finance our acquisition of NEPTCO, offset by payments of $10,667,000 to retire our previously held term notes with Bank of America and RBS Citizens, payments on our line of credit arrangement, and payment of our annual dividend. Additionally, in fiscal 2012, we paid the final two scheduled promissory note payments of $1,000,000 each to the former CIM shareholders in accordance with the CIM stock purchase agreement.

        On October 23, 2014, we announced a cash dividend of $0.60 per share (totaling $5,462,000), composed of $0.50 related to earnings from continuing operations and $0.10 related to the sale of a non-strategic business, to shareholders of record on November 3, 2014 and payable on December 4, 2014.

        On October 23, 2013, we announced a cash dividend of $0.45 per share (totaling $4,080,000) to shareholders of record on November 5, 2013 and paid on December 4, 2013.

22

        On October 23, 2012, we announced a cash dividend of $0.40 per share (totaling $3,626,000) to shareholders of record on November 2, 2012 and paid on December 5, 2012.

        In June 2012, as part of our acquisition of NEPTCO, we borrowed $70,000,000 under a five year term debt financing arrangement led and arranged by Bank of America, with participation from RBS Citizens (the "Credit Facility"). The applicable interest rate is based on the effective LIBOR plus a range of 1.75% to 2.25%, depending on our consolidated leverage ratio. At August 31, 2014, the applicable interest rate was 1.91% per annum and the outstanding principal amount was $58,800,000. We are required to repay the principal amount of the term loan in quarterly installments. Installment payments of $1,400,000 began in September 2012 and continued through June 2014, increased to $1,750,000 per quarter thereafter through June 2015, and will increase to $2,100,000 per quarter thereafter through March 2017. The Credit Facility matures in June 2017 and prepayment of the Credit Facility is allowed at any time.

        We have a revolving line of credit with Bank of America (the "Revolver") totaling $15,000,000, which bears interest at LIBOR plus a range of 1.75% to 2.25%, depending on our consolidated leverage ratio, or, at our option, at the bank's base lending rate. As of August 31, 2014 and October 31, 2014, the entire amount of $15,000,000 was available for use. The Revolver is scheduled to mature in June 2017. This Revolver allows for increased flexibility for working capital requirements going forward, and we plan to use this availability to help finance our cash needs, including potential acquisitions, in fiscal 2015 and future periods.

        Our credit agreement with Bank of America, which outlines the terms of both the Credit Facility and the Revolver, contains customary affirmative and negative covenants that, among other things, restrict our ability to incur additional indebtedness. It also requires us to maintain a ratio of consolidated indebtedness to consolidated EBITDA (each as defined in the credit agreement) of no more than 3.00 to 1.00, and to maintain a consolidated fixed charge coverage ratio (as calculated in the credit agreement) of at least 1.25 to 1.00. We were in compliance with our debt covenants as of August 31, 2014.

        We currently have several on-going capital projects that are important to our long term strategic goals. Machinery and equipment will also be added as needed to increase capacity or enhance operating efficiencies in our other manufacturing plants.

        We may also consider the acquisition of companies or other assets this year or in future periods which are complementary to our business. We believe that our existing resources, including cash on hand and our Revolver, together with cash generated from operations and additional bank borrowings, will be sufficient to fund our cash flow requirements through at least the next twelve months. However, there can be no assurances that additional financing will be available on favorable terms, if at all.

        To the extent that interest rates increase in future periods, we will assess the impact of these higher interest rates on the financial and cash flow projections of our potential acquisitions.

        We have no material off balance sheet arrangements.

Contractual Obligations

        The following table summarizes our contractual cash obligations at August 31, 2014 and the effect such obligations are expected to have on our liquidity and cash flow in future periods.

Contractual Obligations	Total		Payments Due Less than 1 Year		Payments Due 1 - 3 Years		Payments Due 4 - 5 Years		Payments After 5 Years
	(Dollars in thousands)
Long-term debt including estimated interest	$	61,541	$	8,116	$	53,425		—	$	—
Operating leases		6,775		740		1,479		1,408		3,148
Capital leases		86		43		43		—		—
Purchase Obligations		4,560		4,560		—		—		—
Total (1) (2)	$	72,962	$	13,459	$	54,947	$	1,408	$	3,148

(1)

We may be required to make payments related to our unrecognized tax benefits. However, due to the uncertainty of the timing of future cash flows associated with these unrecognized tax benefits, we are unable to make reasonably reliable estimates of the period of cash settlement, if any, with the respective taxing authorities. Accordingly, unrecognized tax benefits of $1,030,000 as of August 31, 2014 have been excluded

23

from the contractual obligations table above. See Note 7 "Income Taxes" to the Consolidated Financial Statements for further information.

(2)

This table does not include the expected payments for our obligations for pension and other post-retirement benefit plans. As of August 31, 2014, we had recognized an accrued benefit plan liability of $10,424,000 representing the unfunded obligations of the pension benefit plans. See Note 9 "Benefits and Pension Plans" to the Consolidated Financial Statements for further information, including expected pension benefit payments for the next 10 years.

Recently Issued Accounting Standards

        In February 2013, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2013-02, "Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income". This ASU expands the presentation of changes in accumulated other comprehensive income. The new guidance requires an entity to disaggregate the total change of each component of other comprehensive income either on the face of the net income statement or as a separate disclosure in the notes. ASU 2013-02 is effective for fiscal years beginning after December 15, 2012. We adopted this ASU in the first quarter of fiscal 2014. The provisions of ASU 2013-02 did not have a material impact on our consolidated financial position, results of operations or cash flows.

        In May 2014, the FASB issued ASU No. 2014-09, "Revenue from Contracts with Customers", which will replace most existing revenue recognition guidance in U.S. Generally Accepted Accounting Principles. The core principle of the ASU is that an entity should recognize revenue for the transfer of goods or services equal to the amount that it expects to be entitled to receive for those goods or services. The ASU requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments. The ASU will be effective for our fiscal year 2018, beginning September 1, 2017, including interim periods, and allows for both retrospective and prospective methods of adoption. We are in the process of determining the method of adoption and assessing the impact of this ASU on our consolidated financial position, results of operations or cash flows.

Critical Accounting Policies, Judgments, and Estimates

        The U.S. Securities and Exchange Commission ("SEC") requires companies to provide additional disclosure and commentary on their most critical accounting policies. The SEC has defined the most critical accounting policies as the ones that are most important to the portrayal of a company's financial condition and operating results, and requires management to make its most significant estimates and judgments in the preparation of its consolidated financial statements. Our critical accounting policies are described below.

Accounts Receivable

        We evaluate the collectability of accounts receivable balances based on a combination of factors. In cases where we are aware of circumstances that may impair a specific customer's ability to meet its financial obligations to us, a specific allowance against amounts due to us is recorded, and thereby reduces the net recognized receivable to the amount we reasonably believe will be collected. For all other customers, we recognize allowances for doubtful accounts based on the length of time the receivables are past due, industry and geographic concentrations, the current business environment and our historical experience. If the financial condition of our customers deteriorates or if economic conditions worsen, additional allowances may be required in the future, which could have an adverse impact on our future operating results.

Inventories

        We value inventory at the lower of cost or market using the first-in, first-out (FIFO) method. Management assesses the recoverability of inventory based on types and levels of inventory held, forecasted demand and changes in technology. These assessments require management judgments and estimates, and valuation adjustments for excess and obsolete inventory may be recorded based on these assessments. We estimate excess and obsolescence exposures based upon assumptions about future demand, product transitions, and market conditions and record adjustments to reduce inventories to their estimated net realizable value. The failure to accurately forecast demand may lead to additional excess and obsolete inventory and future charges.

24

Business Combinations

        We assign the value of the consideration transferred to acquire a business to the tangible assets and identifiable intangible assets acquired and liabilities assumed on the basis of their fair values at the date of acquisition. We assess the fair value of assets, including intangible assets, using a variety of methods and each asset is measured at fair value from the perspective of a market participant. The method used to estimate the fair values of intangible assets incorporates significant assumptions regarding the estimates a market participant would make in order to evaluate an asset, including a market participant's use of the asset and the appropriate discount rates for a market participant. Assets recorded from the perspective of a market participant that are determined to not have economic use for us are expensed immediately. Any excess purchase price over the fair value of the net tangible and intangible assets acquired is allocated to goodwill. Transaction costs and restructuring costs associated with a transaction to acquire a business are expensed as incurred.

Goodwill, Intangible Assets, and Other Long-Lived Assets

        Long-lived assets consist of goodwill, identifiable intangible assets, trademarks, patents and agreements and property, plant, and equipment. Intangible assets and property, plant, and equipment, excluding goodwill, are amortized using the straight-line method over their estimated useful life. We review long-lived assets and all intangible assets for impairment whenever events or changes in circumstances indicate the carrying amount of such assets may not be recoverable.

        Goodwill is also reviewed at least annually for impairment. We perform our annual goodwill impairment assessment during the fourth fiscal quarter of each year. When evaluating the potential impairment of goodwill we first assess a range of qualitative factors, including but not limited to, industry conditions, the competitive environment, changes in the market for our products and services, entity specific factors such as strategy and changes in key personnel, and the overall financial performance for each of our reporting units relative to expected historical or projected future operating results. If after completing this assessment, it is determined that it is more that than likely than not that the fair value of a reporting unit is less than its carrying value, we then proceed to a two-step impairment testing methodology using the income approach (discounted cash flow method).

        In the first step of this testing methodology, we compare the carrying value of the reporting unit, including goodwill, with its fair value, as determined by its estimated discounted cash flows. If the carrying value of a reporting unit exceeds its fair value, we then complete the second step of the impairment test to determine the amount of impairment to be recognized. In the second step, we estimate an implied fair value of the reporting unit's goodwill by allocating the fair value of the reporting unit to all of the assets and liabilities other than goodwill (including intangible assets). If the carrying value of a reporting unit's goodwill exceeds its implied fair value, we record an impairment loss equal to the difference in that period.

        When required, we arrive at our estimates of fair value using a discounted cash flow methodology which includes estimates of future cash flows to be generated by particular assets, as well as selecting a discount rate to measure the present value of those anticipated cash flows. Estimating future cash flows requires significant judgment and includes making assumptions about projected growth rates, industry-specific factors, working capital requirements, current and anticipated operating conditions, any terminal sales value at the end of the period under review. The cash flow estimates used to determine impairment, if any, contain management's best estimates, using appropriate and customary assumptions and projections at the time. See Note 4 to the Consolidated Financial Statements included in this Report.

Revenues

        We recognize revenue when persuasive evidence of an arrangement exists, performance of our obligation is complete, our price to the buyer is fixed or determinable, and we are reasonably assured of collecting. This is typically at the time of shipment or upon receipt by the customer based on contractual terms. If a loss is anticipated on any contract, a provision for the entire loss is made immediately. Revenue recognition involves judgments and assessments of expected returns, and the likelihood of nonpayment by customers. We analyze various factors, including a review of specific customer contracts and shipment terms, historical experience, creditworthiness of customers and current market and economic conditions in determining when to recognize revenue. Changes in judgments on these factors could impact the timing and amount of revenue recognized with a resulting impact on the timing and amount of operating income. Commissions are recognized when earned and payments are received from the manufacturers represented. Royalty revenue is recognized based on licensee

25

production statements received from the authorized manufacturers. Billed shipping and handling fees are recorded as sales revenue with the associated costs recorded as costs of products and services sold.

Contingent Income Tax Liabilities

        We are subject to routine income tax audits that occur periodically in the normal course of business. Our contingent income tax liabilities are estimated based on the methodology prescribed in the guidance for accounting for uncertain tax positions, which we adopted as of the beginning of fiscal 2008. The guidance prescribes a minimum recognition threshold a tax position is required to meet before being recognized in the financial statements. Our liabilities related to uncertain tax positions require an assessment of the probability of the income-tax-related exposures and settlements and are influenced by our historical audit experiences with various state and federal taxing authorities, as well as by current income tax trends. If circumstances change, we may be required to record adjustments that could be material to our reported financial condition and results of operations. See Note 7 to the Consolidated Financial Statements included in this Report for more information on our accounting for uncertain tax positions.

Deferred Income Taxes

        We evaluate the need for a valuation allowance to reduce our deferred tax assets to the amount that is more likely than not to be realized. We have considered future taxable income and ongoing prudent and feasible tax planning strategies in assessing the need for a valuation allowance. Should we determine that we would not be able to realize all or part of our net deferred tax asset in the future, an adjustment to the deferred tax asset would be charged to income in the period such determination was made.

Stock Based Compensation

        We measure compensation cost for share-based compensation at fair value, including estimated forfeitures, and recognize the expense over the period that the recipient is required to provide service in exchange for the award, which generally is the vesting period. We use the Black-Scholes option pricing model to measure the fair value of stock options. This model requires significant estimates related to the award's expected life and future stock price volatility of the underlying equity security. In determining the amount of expense to be recorded, we are also required to estimate forfeiture rates for awards, based on the probability that employees will complete the required service period. We estimate the forfeiture rate based on historical experience. If actual forfeitures differ significantly from our estimates, additional adjustments to compensation expense may be required in future periods.

Pension Benefits

        We sponsor a non-contributory defined benefit pension plan covering employees of certain divisions of the Company. In calculating our retirement plan obligations and related expense, we make various assumptions and estimates. These assumptions include discount rates, benefits earned, expected return on plan assets, mortality rates, and other factors. While we believe that the assumptions used are appropriate, differences in actual experience or changes in assumptions may affect our pension obligations and future expense.

        Effective December 1, 2008, the Chase defined benefit pension plan was amended to include a soft freeze whereby any employee hired after the effective date of December 1, 2008 will not be admitted to the plan. The only exception related to employees of the International Association of Machinists and Aerospace Workers Union whose contract was amended recently to include a soft freeze whereby any employees hired after the effective date of July 15, 2012 will not be admitted to the plan. All eligible participants who were previously admitted to the plan prior to the applicable soft freeze dates will continue to accrue benefits as detailed in the plan agreements.

        NEPTCO has a defined benefit pension plan covering substantially all of our union employees at our Pawtucket, RI plant. This plan was frozen effective October 31, 2006, and as a result, no new participants can enter the plan and the benefits of current participants were frozen as of that date. The benefits are based on years of service and the employee's average compensation during the earlier of five years before retirement, or October 31, 2006.

        We account for our pension plans following the requirements of ASC Topic 715, "Compensation—Retirement Benefits" ("ASC 715"). ASC 715 requires an employer to: (a) recognize in its statement of financial position the funded status of a benefit plan; (b) measure defined benefit plan assets and obligations as of the end of the employer's fiscal year (with limited exceptions); and (c) recognize as a component of other comprehensive income,

26

net of tax, the gains or losses and prior service costs or credits that arise but are not recognized as components of net periodic benefit costs pursuant to prior existing guidance.

Impact of Inflation

        Inflation has not had a significant long-term impact on our earnings. In the event of significant inflation, our efforts to recover cost increases would be hampered as a result of the competitive nature of the industries in which we operate.

Forward-Looking Information

        From time to time, we may publish, verbally or in written form, forward-looking statements relating to such matters as anticipated financial performance, business prospects, technological developments, new products, acquisition or consolidation strategies, anticipated sources of capital, research and development activities and similar matters. In fact, this Form 10-K (or any other periodic reporting documents required by the Securities Exchange Act of 1934, as amended) may contain forward-looking statements reflecting our current views concerning potential or anticipated future events or developments, including our strategic goals for future fiscal periods. The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for forward-looking statements. We caution investors that any forward-looking statements made by us are not guarantees of future performance and that a variety of factors could cause our actual results and experience to differ materially from the anticipated results or other expectations expressed in our forward-looking statements. The risks and uncertainties which may affect the operations, performance, development and results of our business include, but are not limited to, the following: uncertainties relating to economic conditions; uncertainties relating to customer plans and commitments; the pricing and availability of equipment, materials and inventories; the impact of acquisitions on our business and results of operations; technological developments; performance issues with suppliers and subcontractors; our ability to renew existing credit facilities or to obtain new or additional financing as needed; economic growth; delays in testing of new products; our ability to comply with new regulatory requirements without undue expense or other difficulties; the impact of changes in accounting standards; rapid technology changes and the highly competitive environment in which we operate. These risks and uncertainties also include those risks outlined under Item 1A (Risk Factors) of this Annual Report on Form 10-K. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date the statement was made.

ITEM 7A—QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

        We limit the amount of credit exposure to any one issuer. At August 31, 2014, other than our restricted investments (which are restricted for use in a non-qualified retirement savings plan for certain key employees and members of the Board of Directors), all of our funds were either in demand deposit accounts or investment instruments that meet high credit quality standards such as money market funds, government securities, or commercial paper.

        Our domestic operations have limited currency exposure since substantially all transactions are denominated in U.S. dollars. However, our European operations are subject to currency exchange fluctuations. We continue to review our policies and procedures to reduce this exposure while maintaining the benefit from these operations and sales to other European currency denoted customers. As of August 31, 2014, the Company had cash balances in the following foreign currencies (with USD equivalents):

Currency Code	Currency Name	USD Equivalent at August 31, 2014
GBP	British Pound	$	12,041,000
EUR	Euro	$	2,597,000
CNY	Chinese Yuan	$	310,000
CAD	Canadian Dollar	$	90,000

        We will continue to review our current cash balances denominated in foreign currency in light of current tax guidelines and potential acquisitions.

        We recognized a foreign currency translation gain for the year ended August 31, 2014 in the amount of $2,055,000 related to our European operations which is recorded in accumulated other comprehensive income (loss) within our Statement of Equity. We do not have or utilize any derivative financial instruments.

        We pay interest on our outstanding long-term debt at interest rates that fluctuate based upon changes in various base interest rates. The carrying value of our long-term debt was $58,800,000 at August 31, 2014. See "Item 7—Management's Discussion and Analysis of Financial Condition and Results of Operations—Liquidity and Sources of Capital" and Note 16—"Fair Value Measurements" to the Consolidated Financial Statements for additional information regarding our outstanding long-term debt. The effect of an immediate hypothetical 10% change in variable interest rates would not have a material effect on our Consolidated Financial Statements.

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ITEM 8—FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

        The following Consolidated Financial Statements of Chase Corporation are filed as part of this Annual Report on Form 10-K:

        Index to Consolidated Financial Statements:

	Page No.
Report of Independent Registered Public Accounting Firm		29
Consolidated Balance Sheets as of August 31, 2014 and 2013		30
Consolidated Statements of Operations for each of the three fiscal years in the period ended August 31, 2014		31
Consolidated Statements of Comprehensive Income for each of the three fiscal years in the period ended August 31, 2014		32
Consolidated Statements of Equity for each of the three fiscal years in the period ended August 31, 2014		33
Consolidated Statements of Cash Flows for each of the three fiscal years in the period ended August 31, 2014		34
Notes to Consolidated Financial Statements		35

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Report of Independent Registered Public Accounting Firm

To The Board of Directors and Shareholders of Chase Corporation:

        In our opinion, the accompanying consolidated balance sheets and the related consolidated statements of operations, comprehensive income, equity and cash flows present fairly, in all material respects, the financial position of Chase Corporation and its subsidiaries at August 31, 2014 and 2013, and the results of their operations and their cash flows for each of the three years in the period ended August 31, 2014 in conformity with accounting principles generally accepted in the United States of America. Also in our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of August 31, 2014, based on criteria established in Internal Control—Integrated Framework 1992 issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). The Company's management is responsible for these financial statements, for maintaining effective internal control over financial reporting and for its assessment of the effectiveness of internal control over financial reporting, included in Item 9A, "Controls and Procedures." Our responsibility is to express opinions on these financial statements and on the Company's internal control over financial reporting based on our integrated audits. We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement and whether effective internal control over financial reporting was maintained in all material respects. Our audits of the financial statements included examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our audit of internal control over financial reporting included obtaining an understanding of internal control over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. Our audits also included performing such other procedures as we considered necessary in the circumstances. We believe that our audits provide a reasonable basis for our opinions.

        A company's internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company's internal control over financial reporting includes those policies and procedures that (i) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (ii) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (iii) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company's assets that could have a material effect on the financial statements.

        Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

/s/ PricewaterhouseCoopers LLP

PricewaterhouseCoopers LLP
Boston, Massachusetts
November 14, 2014

29

CHASE CORPORATION

CONSOLIDATED BALANCE SHEETS

In thousands, except share and per share amounts

	August 31,
	2014			2013
ASSETS
Current Assets
Cash & cash equivalents	$	53,222		$	29,997
Accounts receivable, less allowance for doubtful accounts of $670 and $696		35,601			32,084
Inventories		31,539			32,048
Prepaid expenses and other current assets		2,437			1,826
Due from sale of product line		739			—
Assets held for sale		—			1,905
Deferred income taxes		2,315			2,115
Total current assets		125,853			99,975
Property, plant and equipment, net		44,085			45,192
Other Assets
Goodwill		38,280			37,815
Intangible assets, less accumulated amortization of $22,941 and $17,554		27,215			31,781
Cash surrender value of life insurance		7,249			7,278
Restricted investments		1,256			1,094
Funded pension plan		962			1,014
Deferred income taxes		470			—
Other assets		175			211
	$	245,545		$	224,360
LIABILITIES AND EQUITY
Current Liabilities
Accounts payable	$	15,121		$	12,416
Accrued payroll and other compensation		7,754			7,046
Accrued expenses		4,842			5,171
Accrued income taxes		1,377			2,161
Current portion of long-term debt		7,000			5,600
Total current liabilities		36,094			32,394
Long-term debt, less current portion		51,800			58,800
Deferred compensation		2,037			1,897
Accumulated pension obligation		10,418			7,834
Other liabilities		126			108
Deferred income taxes		7,580			9,467
Commitments and Contingencies (Notes 6, 8 and 19)
Equity
First Serial Preferred Stock, $1.00 par value: Authorized 100,000 shares; none issued
Common stock, $.10 par value: Authorized 20,000,000 shares; 9,103,292 shares at August 31, 2014 and 9,066,115 shares at August 31, 2013 issued and outstanding		910			907
Additional paid-in capital		13,620			13,336
Accumulated other comprehensive loss		(4,250	)		(5,163	)
Retained earnings		126,272			103,734
Chase Corporation stockholders' equity		136,552			112,814
Non-controlling interest related to NEPTCO joint venture (Note 15)		938			1,046
Total equity		137,490			113,860
Total liabilities and equity	$	245,545		$	224,360

See accompanying notes to the consolidated financial statements.

30

CHASE CORPORATION

CONSOLIDATED STATEMENTS OF OPERATIONS

In thousands, except share and per share amounts

	Years Ended August 31,
	2014			2013			2012
Revenues
Sales	$	221,034		$	213,648		$	146,494
Royalties and commissions		2,972			2,414			2,425
		224,006			216,062			148,919
Costs and Expenses
Cost of products and services sold		145,193			146,035			101,249
Selling, general and administrative expenses		42,640			43,236			30,172
Acquisition related costs		—			—			3,206
Operating income		36,173			26,791			14,292
Interest expense		(1,143	)		(1,294	)		(398	)
Gain on sale of product line (Note 18)		5,706			—			—
Other (expense) income		(246	)		313			102
Income before income taxes		40,490			25,810			13,996
Income taxes		13,967			9,070			4,732
Net income	$	26,523		$	16,740		$	9,264
Add: net loss attributable to non-controlling interest		108			474			74
Net income attributable to Chase Corporation	$	26,631		$	17,214		$	9,338
Net income available to common shareholders, per common and common equivalent share
Basic	$	2.92		$	1.90		$	1.03
Diluted	$	2.86		$	1.87		$	1.03
Weighted average shares outstanding
Basic		8,952,026			8,860,972			8,761,262
Diluted		9,165,666			8,978,438			8,786,750

See accompanying notes to the consolidated financial statements.

31

CHASE CORPORATION

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

In thousands, except share and per share amounts

	Years Ended August 31,
	2014			2013			2012
Net income	$	26,523		$	16,740		$	9,264
Other comprehensive income:
Net unrealized gain on restricted investments, net of tax of $38, $20 and $20, respectively		65			85			33
Change in funded status of pension plans, net of tax of ($796), $281 and $297, respectively		(1,207	)		201			(493	)
Foreign currency translation adjustment		2,055			(419	)		(904	)
Total other comprehensive income (loss)		913			(133	)		(1,364	)
Comprehensive income		27,436			16,607			7,900
Comprehensive loss attributable to non-controlling interest		108			474			74
Comprehensive income attributable to Chase Corporation	$	27,544		$	17,081		$	7,974

See accompanying notes to the consolidated financial statements.

32

CHASE CORPORATION

CONSOLIDATED STATEMENTS OF EQUITY

In thousands, except share and per share amounts

	Common Stock									Accumulated Other Comprehensive Income (loss)
							Additional Paid-In Capital						Retained Earnings			Chase Stockholders' Equity			Non-controlling Interest			Total Equity
	Shares			Amount
Balance at August 31, 2011		8,952,910		$	895		$	10,678		$	(3,666	)	$	83,973		$	91,880		$	—		$	91,880
Restricted stock grants, net of forfeitures		98,135			10			(10	)								—						—
Amortization of restricted stock grants								1,448									1,448						1,448
Amortization of stock option grants								563									563						563
Common stock issuance		2,205						29									29						29
Non-controlling Interest—NEPTCO joint venture																				1,594			1,594
Excess tax benefit (expense) from stock based compensation								209									209						209
Common stock retained to pay statutory minimum withholding taxes on common stock		(51,668	)		(5	)		(808	)								(813	)					(813	)
Cash dividend paid, $0.35 per share														(3,165	)		(3,165	)					(3,165	)
Change in funded status of pension plan, net of tax of $297											(493	)					(493	)					(493	)
Foreign currency translation adjustment											(904	)					(904	)					(904	)
Net unrealized gain on restricted investments, net of tax of $20											33						33						33
Net income														9,338			9,338			(74	)		9,264
Balance at August 31, 2012		9,001,582		$	900		$	12,109		$	(5,030	)	$	90,146		$	98,125		$	1,520		$	99,645
Restricted stock grants, net of forfeitures		71,801			7			(7	)		—			—			—			—			—
Amortization of restricted stock grants		—			—			1,145			—			—			1,145			—			1,145
Amortization of stock option grants		—			—			466			—			—			466			—			466
Common stock issuance		566			0			10			—			—			10			—			10
Exercise of stock options		49,042			5			557			—			—			562			—			562
Common stock received for payment of stock option exercises		(20,284	)		(2	)		(486	)		—			—			(488	)		—			(488	)
Excess tax benefit (expense) from stock based compensation		—			—			622			—			—			622			—			622
Common stock retained to pay statutory minimum withholding taxes on common stock		(36,592	)		(3	)		(1,080	)		—			—			(1,083	)		—			(1,083	)
Cash dividend paid, $0.40 per share		—			—			—			—			(3,626	)		(3,626	)		—			(3,626	)
Change in funded status of pension plan, net of tax of $281		—			—			—			201			—			201			—			201
Foreign currency translation adjustment		—			—			—			(419	)		—			(419	)		—			(419	)
Net unrealized gain on restricted investments, net of tax of $20		—			—			—			85			—			85			—			85
Net income		—			—			—			—			17,214			17,214			(474	)		16,740
Balance at August 31, 2013		9,066,115		$	907		$	13,336		$	(5,163	)	$	103,734		$	112,814		$	1,046		$	113,860
Restricted stock grants, net of forfeitures		32,851			3			(3	)		—			—			—			—			—
Amortization of restricted stock grants		—			—			857			—			—			857			—			857
Amortization of stock option grants		—			—			239			—			—			239			—			239
Exercise of stock options		114,872			11			1,604			—			—			1,615			—			1,615
Common stock received for payment of stock option exercises		(47,121	)		(5	)		(1,545	)		—			—			(1,550	)		—			(1,550	)
Excess tax benefit (expense) from stock based compensation		—			—			1,324			—			—			1,324			—			1,324
Common stock retained to pay statutory minimum withholding taxes on common stock		(63,425	)		(6	)		(2,192	)		—			—			(2,198	)		—			(2,198	)
Cash dividend paid, $0.45 per share		—			—			—			—			(4,093	)		(4,093	)		—			(4,093	)
Change in funded status of pension plan, net of tax of $796		—			—			—			(1,207	)		—			(1,207	)		—			(1,207	)
Foreign currency translation adjustment		—			—			—			2,055			—			2,055			—			2,055
Net unrealized gain on restricted investments, net of tax of $38		—			—			—			65			—			65			—			65
Net income		—			—			—			—			26,631			26,631			(108	)		26,523
Balance at August 31, 2014		9,103,292		$	910		$	13,620		$	(4,250	)	$	126,272		$	136,552		$	938		$	137,490

See accompanying notes to the consolidated financial statements.

33

CHASE CORPORATION

CONSOLIDATED STATEMENTS OF CASH FLOWS

Dollars in thousands

	Years Ended August 31,
	2014			2013			2012
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$	26,523		$	16,740		$	9,264
Adjustments to reconcile net income to net cash provided by operating activities
(Gain) loss on disposal/sale of fixed assets		2			(8	)		32
Gain on sale of product line		(5,706	)		—			—
Depreciation		5,692			5,872			3,172
Amortization		4,822			4,793			2,716
Cost of sale of inventory step-up		—			564			828
Provision (recovery) for allowance for doubtful accounts		28			(114	)		155
Stock based compensation		1,096			1,621			2,040
Realized gain on restricted investments		(63	)		(51	)		(22	)
Increase (decrease) in cash surrender value life insurance		202			52			(37	)
Pension curtailment and settlement loss		348			1,223			550
Excess tax expense from stock based compensation		(1,324	)		(622	)		(209	)
Deferred taxes		(2,529	)		(1,385	)		(1,442	)
Increase (decrease) from changes in assets and liabilities
Accounts receivable		(3,335	)		(363	)		(1,717	)
Inventories		(1,550	)		(1,240	)		942
Prepaid expenses & other assets		(297	)		8			(55	)
Accounts payable		2,578			886			(2,683	)
Accrued expenses		1,351			(791	)		(174	)
Accrued income taxes		627			850			408
Deferred compensation		141			122			178
Net cash provided by operating activities		28,606			28,157			13,946
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of property, plant and equipment		(4,290	)		(3,043	)		(5,230	)
Cost to acquire intangible assets		(123	)		(354	)		(74	)
Contingent purchase price paid for acquisition		(160	)		(141	)		(358	)
Payments for acquisitions, net of cash acquired		—			84			(62,217	)
Proceeds from sale of fixed assets		17			105			1,032
Net proceeds from sale of product line		9,179			—			—
Net withdrawals (contributions) from restricted investments		3			(48	)		(60	)
Payments for cash surrender value life insurance		(183	)		(183	)		(183	)
Net cash provided by (used in) investing activities		4,443			(3,580	)		(67,090	)
CASH FLOWS FROM FINANCING ACTIVITIES
Borrowings on long-term debt		2,104			313			79,331
Payments of principal on debt		(7,704	)		(5,913	)		(22,054	)
Dividend paid		(4,093	)		(3,626	)		(3,165	)
Proceeds from exercise of common stock options		66			74			—
Payments of statutory minimum taxes on stock options and restricted stock		(2,198	)		(1,083	)		(813	)
Excess tax benefit from stock based compensation		1,324			621			209
Net cash (used in) provided by financing activities		(10,501	)		(9,614	)		53,508
INCREASE IN CASH & CASH EQUIVALENTS		22,548			14,963			364
Effect of foreign exchange rates on cash		677			(146	)		(166	)
CASH & CASH EQUIVALENTS, BEGINNING OF PERIOD		29,997			15,180			14,982
CASH & CASH EQUIVALENTS, END OF PERIOD	$	53,222		$	29,997		$	15,180

See Note 13 for supplemental cash flow information including non-cash financing and investing activities
See accompanying notes to the consolidated financial statements.

34

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

In thousands, except share and per share amounts

Note 1—Summary of Significant Accounting Policies

        The principal accounting policies of Chase Corporation (the "Company") and its subsidiaries are as follows:

Products and Markets

        The Company's principal products are specialty tapes, laminates, sealants and coatings that are sold by Company salespeople, manufacturers' representatives and distributors. In the Company's Industrial Materials segment, these products consist of:

(i)

insulating and conducting materials for the manufacture of electrical and telephone wire and cable, electrical splicing, and terminating and repair tapes, which are marketed to wire and cable manufacturers;



(ii)

laminated film foils, composite strength elements, anti-static packaging tape and pulling tapes for the electronics and cable industries;



(iii)

moisture protective coatings, which are sold to the electronics industry including circuitry used in automobiles and home appliances;



(iv)

laminated durable papers, including laminated paper with an inner security barrier used in personal and mail-stream privacy protection, which are sold primarily to the envelope converting and commercial printing industries;



(v)

pulling and detection tapes used in the installation, measurement and location of fiber optic cables, water and natural gas lines, and power, data and video cables for commercial buildings;



(vi)

cover tapes with reliable adhesive and anti-static properties essential to delivering semiconductor components via tape and reel packaging; and



(vii)

flexible, rigid and semi-rigid fiber optic strength elements designed to allow fiber optic cables to withstand mechanical and environmental strain and stress.

        In the Company's Construction Materials segment, these products consist of:

(i)

protective pipe coating tapes and other protectants for valves, regulators, casings, joints, metals, concrete and wood, which are sold to oil companies, gas utilities and pipeline companies;



(ii)

protectants for highway bridge deck metal supported surfaces, which are sold to municipal transportation authorities;



(iii)

fluid applied coating and lining systems for use in the water and wastewater industry; and



(iv)

expansion and control joint systems designed for roads, bridges, stadiums and airport runways.

Basis of Presentation

        The financial statements include the accounts of the Company and its wholly-owned subsidiaries. Investments in unconsolidated companies which are at least 20% owned are carried under the equity method since acquisition or investment. All intercompany transactions and balances have been eliminated in consolidation. The Company uses the U.S. dollar as the functional currency for financial reporting.

        As part of the Company's purchase of NEPTCO in June 2012, it also acquired NEPTCO's 50% ownership stake in its financially- controlled joint venture, NEPTCO JV LLC ("JV"). Given the Company's controlling financial interest, the JV's assets and liabilities as of August 31, 2014 and 2013, and the results of operations beginning June 27, 2012, have been consolidated within the Company's consolidated balance sheet and the related consolidated statements of operations and cash flows. An offsetting amount equal to 50% of net assets and net loss of the JV has also been recorded within the Company's consolidated financial statements to non-controlling interest, representing the joint venture partner's 50% ownership stake and pro rata share in net results of the JV.

35

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

        The Company has evaluated events and transactions subsequent to the balance sheet date. Based on this evaluation, and other than the October 2014 purchase of the 50% non-controlling membership interest in NEPTCO JV LLC described in Note 14, and the cash dividend announced on October 23, 2014 of $0.60 per share to shareholders of record on November 3, 2014 payable on December 4, 2014, the Company is not aware of any other events or transactions that occurred subsequent to the balance sheet date, but prior to filing, that would require recognition or disclosure in its consolidated financial statements.

Use of Estimates

        The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents

        Cash and cash equivalents consist primarily of demand deposits accounts or investment instruments that meet high credit quality standards such as money market funds, government securities, or commercial paper. The Company considers all highly liquid debt instruments purchased with a maturity of three months or less from date of purchase to be cash equivalents.

Accounts Receivable

        The Company evaluates the collectability of accounts receivable balances based on a combination of factors. In cases where the Company is aware of circumstances that may impair a specific customer's ability to meet its financial obligations to it, a specific allowance against amounts due to the Company is recorded, and thereby reduces the net recognized receivable to the amount the Company reasonably believes will be collected. For all other customers, the Company recognizes allowances for doubtful accounts based on the length of time the receivables are past due, industry and geographic concentrations, the current business environment and its historical experience. Receivables are written off against these reserves in the period they are determined to be uncollectible.

Inventories

        The Company values inventory at the lower of cost or market using the first-in, first-out (FIFO) method. Management assesses the recoverability of inventory based on types and levels of inventory held, forecasted demand and changes in technology. These assessments require management judgments and estimates, and valuation adjustments for excess and obsolete inventory may be recorded based on these assessments. The Company estimates excess and obsolescence exposures based upon assumptions about future demand, product transitions, and market conditions and records reserves to reduce inventories to their estimated net realizable value. The failure to accurately forecast demand may lead to additional excess and obsolete inventory and future charges.

Goodwill

        The Company accounts for goodwill in accordance with ASC Topic 350, "Intangibles—Goodwill and Other." The Company identified several reporting units within each of its two operating segments. These are used to evaluate the possible impairment of goodwill annually each fourth quarter and whenever events or circumstances indicate the carrying value of goodwill may not be recoverable. When evaluating the potential impairment of goodwill, the Company will first assess a range of qualitative factors, including but not limited to, industry conditions, the competitive environment, changes in the market for our products and services, entity specific factors such as strategy and changes in key personnel, and the overall financial performance for each of our reporting units relative to expected historical or projected future operating results. If after completing this assessment, it is determined that

36

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

it is more likely than not that the fair value of a reporting unit is less than its carrying value, the Company will then proceed to a two-step impairment testing methodology using the income approach (discounted cash flow method).

        In the first step of this testing methodology, we compare the carrying value of the reporting unit, including goodwill, with its fair value, as determined by its estimated discounted cash flows. If the carrying value of a reporting unit exceeds its fair value, we then complete the second step of the impairment test to determine the amount of impairment to be recognized. In the second step, we estimate an implied fair value of the reporting unit's goodwill by allocating the fair value of the reporting unit to all of the assets and liabilities other than goodwill (including intangible assets). If the carrying value of a reporting unit's goodwill exceeds its implied fair value, we record an impairment loss equal to the difference in that period. The key assumptions incorporated in the discounted cash flow approach include projected operating income, changes in working capital, projected capital expenditures, estimated terminal sales value and a discount rate equal to the assumed long-term cost of capital. Cash flows may be adjusted to exclude certain non-recurring or unusual items. The cash flow estimates used to determine impairment, if any, contain management's best estimates, using appropriate and customary assumptions and projections at the time.

Intangible Assets

        Intangible assets consist of patents, agreements, formulas, trade names, customer relationships and trademarks. The Company capitalizes costs related to patent applications and technology agreements. The costs of these assets are amortized using the straight-line method over the lesser of the useful life of the asset or its statutory life. Capitalized costs are periodically reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable.

Property, Plant and Equipment

        Property, plant and equipment are stated at cost and depreciated using the straight-line method over the assets' estimated useful lives. Expenditures for maintenance repairs and minor renewals are charged to expense as incurred. Betterments and major renewals are capitalized. Upon retirement or other disposition of assets, related allowances for depreciation and amortization are eliminated from the accounts and any resulting gain or loss is included in the determination of income or loss. The estimated useful lives of property, plant and equipment are as follows:

Buildings and improvements	15 to 40 years
Machinery and equipment	3 to 10 years

        Leasehold improvements are depreciated over the lesser of the useful life or the term of the lease.

Restricted Investments and Deferred Compensation

        The Company has a non-qualified deferred savings plan that covers its Board of Directors and selected employees. Participants may elect to defer a portion of their compensation for payment in a future tax year. The plan is funded by trusteed assets that are restricted to the payment of deferred compensation or satisfaction of the Company's general creditors. The Company's restricted investments and corresponding deferred compensation liability under the plan were $1,256 and $1,094 at August 31, 2014 and 2013, respectively. The Company accounts for the restricted investments as available for sale by recording unrealized gains or losses in other comprehensive income as a component of stockholders' equity.

Split-Dollar Life Insurance Arrangements

        The net liability related to these postretirement benefits was calculated as the difference between the present value of future premiums to be paid by the Company reduced by the present value of the expected proceeds to be returned to the Company upon the insured's death. The Company prepared its calculation by using mortality assumptions which are based on the IRS 2014 Combined Static Mortality Table, and a 1.63% discount rate. The

37

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

Company's net liability related to these postretirement obligations was $54 and $56 at August 31, 2014 and 2013, respectively.

Revenues

        The Company recognizes revenue when persuasive evidence of an arrangement exists, performance of its obligation is complete, its price to the buyer is fixed or determinable, and the Company is reasonably assured of collecting. This is typically at the time of shipment or upon receipt by the customer based on contractual terms. If a loss is anticipated on any contract, a provision for the entire loss is made immediately. Revenue recognition involves judgments and assessments of expected returns, and the likelihood of nonpayment by customers. The Company analyzes various factors, including a review of specific customer contracts and shipment terms, historical experience, creditworthiness of customers and current market and economic conditions in determining when to recognize revenue. Changes in judgments on these factors could impact the timing and amount of revenue recognized with a resulting impact on the timing and amount of operating income. Commissions are recognized when earned and payments are received from the manufacturers represented. Royalty revenue is recognized based on licensee production statements received from the authorized manufacturers. Billed shipping and handling fees are recorded as sales revenue with the associated costs recorded as costs of products and services sold.

        The Company's warranty policy provides that the products (or materials) delivered will meet its standard specifications for the products or any other specifications as may be expressly agreed to at time of purchase. All warranty claims must be received within 90 days from the date of delivery, unless some other period has been expressly agreed to within the terms of the sales agreement. The Company's warranty costs have historically been insignificant. The Company records a current liability for estimated warranty claims with a corresponding debit to cost of products and services sold based upon current and historical experience and upon specific claims issues as they arise.

        In addition, the Company offers certain sales incentives based on sales levels as they are earned.

Research and Product Development Costs

        Research and product development costs are expensed as incurred and include primarily engineering salaries, overhead and materials used in connection with research and development projects. Research and development expense amounted to $2,599, $3,395 and $2,958 for the years ended August 31, 2014, 2013 and 2012, respectively.

Pension Plan

        The Company accounts for its pension plans following the requirements of ASC Topic 715, "Compensation—Retirement Benefits" ("ASC 715"). ASC 715 requires an employer to: (a) recognize in its statement of financial position the funded status of a benefit plan; (b) measure defined benefit plan assets and obligations as of the end of the employer's fiscal year (with limited exceptions); and (c) recognize as a component of other comprehensive income, net of tax, the gains or losses and prior service costs or credits that arise but are not recognized as components of net periodic benefit costs pursuant to prior existing guidance.

Stock Based Compensation

        In accordance with the accounting for stock based compensation guidance, the Company measures and recognizes compensation expense for all share-based payment awards made to employees and directors based on estimated fair values. This includes restricted stock, restricted stock units and stock options. The guidance allows for the continued use of the simplified method as the Company has concluded that its historical share option exercise experience does not provide a reasonable basis for estimating expected term. The Company uses the short cut method to calculate the historical windfall tax pool.

        Stock-based compensation expense recognized in fiscal years 2014, 2013 and 2012 was $1,096, $1,621 and $2,040, respectively.

38

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

        The fair value of options granted was estimated on the date of grant using the Black-Scholes option pricing model with the following weighted average assumptions for the years ending August 31, 2014, 2013 and 2012:

	2014	2013	2012
Expected Dividend yield	2.0%	2.2%	2.3%
Expected life	6.0 years	6.0 years	6.0 years
Expected volatility	41.0%	33.0%	30.0%
Risk-free interest rate	2.8%	1.6%	2.2%

        Expected volatility is determined by looking at a combination of historical volatility over the past seven years as well as implied volatility going forward.

Translation of Foreign Currency

        The financial position and results of operations of the Company's HumiSeal Europe Ltd and Chase Protective Coatings Ltd businesses are measured using the UK pound sterling as the functional currency, and the financial position and results of operations of the Company's HumiSeal Europe SARL business in France are measured using euros as the functional currency. Revenues and expenses of these businesses have been translated at average exchange rates. Assets and liabilities have been translated at the year-end exchange rates. Translation gains and losses are being recorded as a separate component of shareholders' equity. Transaction gains and losses generated from the remeasurement of assets and liabilities denominated in currencies other than the functional currency of our foreign operations are included in other income on the consolidated statements of operations.

Income Taxes

        The Company accounts for income taxes under the asset and liability method. Under this method, a deferred tax asset or liability is determined based upon the differences between the financial statement and tax bases of assets and liabilities as measured by the enacted tax rates that will be in effect when these differences reverse. Tax credits are recorded as a reduction in income taxes. Valuation allowances are provided if, based upon the weight of available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized.

        The Company estimates contingent income tax liabilities based on the guidance for accounting for uncertain tax positions as prescribed in ASC Topic 740, "Income Taxes." See Note 7 for more information on the Company's income taxes.

Net Income Per Share

        The Company has unvested share-based payments awards with a right to receive nonforfeitable dividends, which are considered participating securities under ASC Topic 260, "Earnings Per Share" ("ASC 260"). The Company allocates earnings to participating securities and computes earnings per share using the two class method.

Comprehensive Income

        Comprehensive income is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources, including foreign currency translation adjustments, unrealized gains and losses on marketable securities and adjustments related to the change in the funded status of the pension plans.

39

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

Non-controlling Interest

        A legal entity is subject to the consolidation rules of ASC Topic 810, "Consolidations" ("ASC 810") if the total equity investment at risk is not sufficient to permit the legal entity to finance its activities without additional subordinated financial support or the equity investors lack certain specified characteristics of a controlling financial interest. Based on the criteria in ASC 810, the Company determined that its joint venture agreement qualifies as a variable interest entity ("VIE"). The purpose of the joint venture is to combine the elements of NEPTCO's and the joint venture partner's (an otherwise unrelated party) fiber optic strength element businesses. Under ASC 810, a reporting entity shall consolidate a VIE when that reporting entity has a variable interest (or combination of variable interests) that provides the reporting entity with a controlling financial interest. The reporting entity shall be deemed to have a controlling financial interest in a VIE if it has both of the following characteristics: a) the power to direct the activities of a VIE that most significantly impact the VIE's economic performance; and b) the obligation to absorb losses or right to receive benefits from the VIE that could potentially be significant to the VIE. The reporting entity that consolidates a VIE is called the "primary beneficiary" of that VIE. The Company determined that it is the primary beneficiary of the VIE primarily due to Chase directing the activities that most significantly impact the VIE's economic performance, which is the actual management and operation of the joint venture and having the obligation to absorb losses and the right to receive benefits from the VIE that could potentially be significant to the VIE through our equity investment in the VIE. As a result, the Company has consolidated the operations of the joint venture in its consolidated financial statements.

Segments

        The segment reporting topic of the Financial Accounting Standards Board ("FASB") codification establishes standards for reporting information about operating segments. The Company is organized into two operating segments, an Industrial Materials segment and a Construction Materials segment. The basis for this segmentation is distinguished by the nature of the products and how they are delivered to their respective markets. The Industrial Materials segment reflects specified products that are used in or integrated into another company's product with demand dependent upon general economic conditions. Industrial Materials products include insulating and conducting materials for wire and cable manufacturers, moisture protective coatings for electronics and printing services, laminated durable papers, laminates for the packaging and industrial laminate markets, pulling and detection tapes used in the installation, measurement and location of fiber optic cables, water and natural gas lines, cover tapes essential to delivering semiconductor components via tape and reel packaging, and wind energy composite materials and elements. Additionally, the Industrial Materials segment includes a joint venture which produces glass-based strength elements designed to allow fiber optic cables to withstand mechanical and environmental strain and stress. The Construction Materials segment reflects its construction project oriented product offerings which are primarily sold and used as "Chase" branded products in final form. Construction Materials products include protective coatings for pipeline applications, coating and lining systems for use in liquid storage and containment applications, high performance polymeric asphalt additives, and expansion and control joint systems for use in the transportation and architectural markets.

Recently Issued Accounting Standards

        In February 2013, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2013-02, "Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income". This ASU expands the presentation of changes in accumulated other comprehensive income. The new guidance requires an entity to disaggregate the total change of each component of other comprehensive income either on the face of the net income statement or as a separate disclosure in the notes. ASU 2013-02 is effective for fiscal years beginning after December 15, 2012. The Company adopted this ASU in the first quarter of fiscal 2014 (See Note 23 for additional details). The provisions of ASU 2013-02 did not have a material impact on the Company's consolidated financial position, results of operations or cash flows.

        In May 2014, the FASB issued Accounting Standards Update ("ASU") No. 2014-09, "Revenue from Contracts with Customers", which will replace most existing revenue recognition guidance in U.S. Generally Accepted

40

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

Accounting Principles. The core principle of the ASU is that an entity should recognize revenue for the transfer of goods or services equal to the amount that it expects to be entitled to receive for those goods or services. The ASU requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments. The ASU will be effective for the Company beginning September 1, 2017 (fiscal 2018), including interim periods in its fiscal year 2018, and allows for both retrospective and prospective methods of adoption. The Company is in the process of determining the method of adoption and assessing the impact of this ASU on the Company's consolidated financial position, results of operations or cash flows.

Note 2—Inventories

        Inventories consist of the following as of August 31, 2014 and 2013:

	2014		2013
Raw materials	$	13,785	$	14,545
Work in process		7,359		5,967
Finished goods		10,395		11,536
Total Inventories	$	31,539	$	32,048

Note 3—Property, Plant and Equipment

        Property, plant and equipment consist of the following as of August 31, 2014 and 2013:

	2014			2013
Property, Plant and Equipment
Land and improvements	$	5,770		$	5,719
Buildings		21,259			20,943
Machinery and equipment		49,045			44,284
Leasehold improvements		2,091			2,034
Construction in progress		2,378			3,763
		80,543			76,743
Accumulated depreciation		(36,458	)		(31,551	)
Property, plant and equipment, net	$	44,085		$	45,192

Note 4—Goodwill and Intangible Assets

        The changes in the carrying value of goodwill, by operating segment, are as follows:

	Construction Materials			Industrial Materials			Consolidated
Balance at August 31, 2012	$	10,740		$	27,045		$	37,785
Acquisition of NEPTCO, Inc.—working capital settlement		—			(84	)		(84	)
Acquisition of Paper Tyger—additional earnout		—			141			141
Foreign currency translation adjustment		(5	)		(22	)		(27	)
Balance at August 31, 2013	$	10,735		$	27,080		$	37,815
Acquisition of Paper Tyger—additional earnout		—			161			161
Foreign currency translation adjustment		17			287			304
Balance at August 31, 2014	$	10,752		$	27,528		$	38,280

41

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

        The Company's goodwill is allocated to each reporting unit based on the nature of the products manufactured by the respective business combinations that originally created the goodwill. The Company identified several reporting units within each of its two operating segments that are used to evaluate the possible impairment of goodwill. Goodwill impairment exists when the carrying amount of goodwill exceeds its fair value. Assessments of possible impairment of goodwill are made when events or changes in circumstances indicate that the carrying value of the asset may not be recoverable through future operations. Additionally, testing for possible impairment of recorded goodwill and certain intangible asset balances is required annually. The amount and timing of any impairment charges based on these assessments require the estimation of future cash flows and the fair market value of the related assets based on management's best estimates of certain key factors, including future selling prices and volumes; operating, raw material and energy costs, and various other projected operating and economic factors. When testing, fair values of the reporting units and the related implied fair values of their respective goodwill are established using public company analysis and discounted cash flows.

        The Company performs impairment reviews annually each fourth quarter (as of its fiscal year end, August 31^st) and whenever events or circumstances indicate the carrying value of goodwill may not be recoverable. For fiscal 2014, the Company's review indicated no impairment of goodwill.

        As of August 31, 2014, the Company had a total goodwill balance of $38,280 related to its acquisitions, of which $1,440 remains deductible for income taxes.

        Intangible assets subject to amortization consist of the following as of August 31, 2014 and 2013:

	Weighted-Average Amortization Period	Gross Carrying Value		Accumulated Amortization		Net Carrying Value
August 31, 2014
Patents and agreements	11.9 years	$	3,104	$	2,281	$	823
Formulas	9.1 years		5,849		2,851		2,998
Trade names	5.7 years		6,406		3,153		3,253
Customer lists and relationships	10.2 years		34,797		14,656		20,141
		$	50,156	$	22,941	$	27,215
August 31, 2013
Patents and agreements	11.9 years	$	3,198	$	2,200	$	998
Formulas	9.1 years		5,772		2,238		3,534
Trade names	5.7 years		6,345		2,055		4,290
Customer lists and relationships	10.2 years		34,020		11,061		22,959
		$	49,335	$	17,554	$	31,781

        Aggregate amortization expense related to intangible assets for the years ended August 31, 2014, 2013 and 2012 was $4,822, $4,793 and $2,716, respectively. As of August 31, 2014 estimated amortization expense for each of the five succeeding fiscal years is as follows:

Years ending August 31,
2015	$	4,736
2016		4,674
2017		4,237
2018		4,006
2019		3,308
	$	20,961

42

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

Note 5—Cash Surrender Value of Life Insurance

        Life insurance is provided under split dollar life insurance agreements whereby the Company will recover the premiums paid from the proceeds of the policies. The Company recognizes an offset to expense for the growth in the cash surrender value of the policies.

        The Company recognized cash surrender value of life insurance policies, net of loans of $5 at August 31, 2014 and 2013, secured by the policies, with the following carriers as of August 31, 2014 and 2013:

	2014		2013
John Hancock	$	4,450	$	4,450
John Hancock (formerly Manufacturers' Life Insurance Company)		1,054		1,009
Metropolitan Life Insurance		1,665		1,739
Other life insurance carriers		80		80
	$	7,249	$	7,278

        Subject to periodic review, the Company intends to maintain these policies through the lives or retirements of the insureds.

Note 6—Long-Term Debt

        Long-term debt consists of the following at August 31, 2014 and 2013:

	2014			2013
Term note payable to bank in 19 quarterly installments that began in September 2012. The principal amount of the quarterly installments is $1,400 through June 2014, increased to $1,750 per quarter thereafter through June 2015, and will increase to $2,100 per quarter thereafter through March 2017. Interest is payable monthly at LIBOR rate plus 175 to 225 basis points, based upon the Company's consolidated leverage ratios (effective interest rate of 1.91% at August 31, 2014). Quarterly principal payments will continue through March 2017, and Chase will repay the remaining principal balance plus any interest due on the term note maturity date of June 27, 2017.	$	58,800		$	64,400
		58,800			64,400
Less portion payable within one year classified as current		(7,000	)		(5,600	)
Long-term debt, less current portion	$	51,800		$	58,800

        The Company has a revolving line of credit totaling $15,000 with Bank of America that bears interest at London Interbank Offered Rate (LIBOR) plus a range of 1.75% to 2.25%, depending on the consolidated leverage ratio of Chase Corporation, or, at our option, at the bank's base lending rate. As of August 31, 2014, the entire amount of $15,000 was available for use. The revolving line of credit is scheduled to mature in June 2017. This revolving line of credit allows for increased flexibility for working capital requirements going forward, and we plan to use this availability to help finance our cash needs, including potential acquisitions, in fiscal 2015 and future periods.

        Our credit agreement with Bank of America, which outlines the terms of both the term note payable and the revolving line of credit, contains customary affirmative and negative covenants that, among other things, restrict our ability to incur additional indebtedness. It also requires the Company to maintain a ratio of consolidated indebtedness to consolidated EBITDA (each as defined in the agreement) of no more than 3.00 to 1.00, and to maintain a consolidated fixed charge coverage ratio (as calculated in the agreement) of at least 1.25 to 1.00. The Company was in compliance with its debt covenants as of August 31, 2014.

43

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

Note 7—Income Taxes

        Domestic and foreign pre-tax income for the years ended August 31, 2014, 2013 and 2012 was:

	Year Ended August 31,
	2014		2013		2012
United States	$	35,480	$	23,562	$	12,767
Foreign		5,010		2,248		1,229
	$	40,490	$	25,810	$	13,996

        The provision (benefit) for income taxes for the years ended August 31, 2014, 2013 and 2012 was:

	Year Ended August 31,
	2014			2013			2012
Current:
Federal	$	13,012		$	8,112		$	5,073
State		1,437			1,652			392
Foreign		1,149			1,043			287
Total current income tax provision		15,598			10,807			5,752
Deferred:
Federal		(1,446	)		(1,302	)		(860	)
State		(168	)		(92	)		(150	)
Foreign		(17	)		(343	)		(10	)
Total deferred income tax benefit		(1,631	)		(1,737	)		(1,020	)
Total income tax provision	$	13,967		$	9,070		$	4,732

        The provision (benefit) for income taxes differs from the amount computed by applying the federal statutory income tax rate to income before income taxes. The Company's combined federal, state and foreign effective tax rate as a percentage before taxes for fiscal 2014, 2013 and 2012, net of offsets generated by federal, state and foreign tax benefits, was 34.5%, 35.1% and 33.8%, respectively. The following is a reconciliation of the effective income tax rate with the U.S. federal statutory income tax rate for the years ended August 31, 2014, 2013 and 2012:

	Year Ended August 31,
	2014			2013			2012
Federal statutory rates		35.0	%		35.0	%		35.0	%
Adjustment resulting from the tax effect of:
State and local taxes, net of federal benefit		1.8	%		3.8	%		1.1	%
Domestic production deduction		(3.1	)%		(3.3	)%		(3.5	)%
Foreign tax rate differential		(1.3	)%		(0.7	)%		(0.6	)%
Adjustment to uncertain tax position		0.3	%		(1.1	)%		(1.3	)%
Transaction costs not deductible		—			—			2.6	%
Research credit generated		(0.2	)%		(1.2	)%		(0.8	)%
Noncontrolling partnership interest		0.1	%		0.6	%		—
Tax effect of undistributed earnings		1.8	%		0.6	%		0.1	%
Other		0.1	%		1.4	%		1.2	%
Effective income tax rate		34.5	%		35.1	%		33.8	%

44

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

        The following table summarizes the tax effect of temporary differences on the Company's income tax provision:

	Year Ended August 31,
	2014			2013			2012
Current income tax provision	$	15,598		$	10,807		$	5,752
Deferred provision (benefit):
Allowance for doubtful accounts		(149	)		(15	)		(39	)
Inventories		(167	)		(259	)		(640	)
Pension expense		(332	)		(207	)		446
Deferred compensation		(36	)		(51	)		(70	)
Loan finance costs		7			66			(116	)
Accruals		(12	)		861			(177	)
Warranty reserve		(6	)		—			(56	)
Depreciation and amortization		(1,914	)		(1,836	)		(701	)
Restricted stock grant		315			(102	)		(74	)
Unrepatriated earnings		1,753			1,572			(133	)
Foreign taxes net of unrepatriated earnings		(1,014	)		(1,425	)		497
Foreign amortization		(106	)		(105	)		(134	)
Other accrued expenses		30			(236	)		177
Total deferred income tax benefit		(1,631	)		(1,737	)		(1,020	)
Total income tax provision	$	13,967		$	9,070		$	4,732

45

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

        The following table summarizes the tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities:

	As of August 31,
	2014			2013
Current:
Deferred tax assets:
Allowance for doubtful accounts	$	479		$	330
Inventories		1,458			1,291
Accruals		342			504
Warranty reserve		88			82
Current deferred tax assets		2,367			2,207
Deferred tax liabilities:
Prepaid liabilities		(52	)		(92	)
Current deferred tax liabilities		(52	)		(92	)
Current deferred tax assets, net		2,315			2,115
Noncurrent:
Deferred tax assets:
Pension accrual		3,464			2,162
Deferred compensation		811			775
Loan finance costs		44			50
Unrealized gain/loss on restricted investments		(61	)		(23	)
Restricted stock grants		804			1,122
Non qualified stock options		16			16
Foreign tax credits		7,340			6,326
Foreign other		470			256
Noncurrent deferred tax assets		12,888			10,684
Deferred tax liabilities:
Unrepatriated earnings		(8,148	)		(6,515	)
Foreign intangibles		—			118
Depreciation and amortization		(11,812	)		(13,780	)
Other		(38	)		26
Noncurrent deferred tax liabilities		(19,998	)		(20,151	)
Noncurrent deferred tax liabilities, net		(7,110	)		(9,467	)
Net deferred tax liabilities	$	(4,795	)	$	(7,352	)

        A summary of the Company's adjustments to its uncertain tax positions in fiscal years ended August 31, 2014, 2013 and 2012 are as follows:

	2014			2013			2012
Balance, at beginning of the year	$	900		$	1,180		$	893
Increase for tax positions related to the current year		58			17			19
Increase / (decrease) for tax positions related to prior years		80			73			(176	)
Increase for amounts recorded in acquisition accounting		—			—			465
Decreases for settlements with applicable taxing authorities		—			—			(21	)
Decreases for lapses of statute of limitations		(8	)		(370	)		—
Balance, at end of year	$	1,030		$	900		$	1,180

46

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

        The unrecognized tax benefits mentioned above include an aggregate of $489 of accrued interest and penalty balances related to uncertain tax positions. The Company recognizes interest and penalties related to uncertain tax positions in income tax expense. An increase in accrued interest and penalty charges of approximately $33, net of federal tax expense, was recorded as a tax expense during the current fiscal year. The Company does not anticipate that its accrual for uncertain tax positions will be reduced by a material amount over the next twelve month period, as it does not expect to settle any potential disputed items with the appropriate taxing authorities nor does it expect the statute of limitations to expire for any items.

        The Company is subject to U.S. federal income tax, as well as to income tax of multiple state and foreign tax jurisdictions. The statute of limitations for all material U.S. federal, state, and local tax filings remains open for fiscal years subsequent to 2010. For foreign jurisdictions, the statute of limitations remains open in the UK for fiscal years subsequent to 2010 and in France for fiscal years subsequent to 2013.

Note 8—Capital and Operating Leases

        The Company is obligated under various capital and operating leases, primarily for real property and equipment. Future minimum lease payments under non-cancelable operating leases (with initial or remaining lease terms in excess of one year), and the present value of future minimum capital lease payments as of August 31, 2014, are as follows:

Year ending August 31,	Future Capital Lease Payments			Future Operating Lease Payments
2015	$	43		$	740
2016		34			742
2017		9			737
2018		—			706
2019		—			702
2020 and thereafter		—			3,148
Total future minimum lease payments	$	86		$	6,775
Less: interest (at rates ranging from 4% to 8%)		(8	)
	$	78
Less: current portion		(38	)
	$	40

        Total rental expense for all operating leases amounted to $1,577, $1,761 and $1,178 for the years ended August 31, 2014, 2013 and 2012, respectively.

Note 9—Benefits and Pension Plans

401(k) Plan

        The Company has a defined contribution plan adopted pursuant to Section 401(k) of the Internal Revenue Code of 1986. Any qualified employee who has attained age 21 and has been employed by the Company for at least six months may contribute a portion of his or her salary to the plan and the Company will match 100% of the first one percent of salary contributed and 50% thereafter, up to an amount equal to three and one half percent of such employee's annual salary.

        NEPTCO has two 401(k) savings plans, one for union employees and one for non-union employees. Under these plans, substantially all employees of NEPTCO are eligible to participate by making before-tax contributions to these plans. Participants may elect to defer between 1% and 10% of their annual compensation. The Company may contribute $0.75 for each $1.00 of participant deferrals up to 3% of the non-union participant's compensation. The Company may match union employee contributions by $0.50 for each $1.00 of participant deferrals up to 3% of the participant's compensation.

        The Company's contribution expense for all 401(k) plans was $392, $351 and $294 for the years ended August 31, 2014, 2013 and 2012, respectively.

47

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

Non-Qualified Deferred Savings Plan

        The Company has a non-qualified deferred savings plan covering the Board of Directors and a separate plan covering selected employees. Participants may elect to defer a portion of their compensation for future payment. The plans are funded by trusteed assets that are restricted to the payment of deferred compensation or satisfaction of the Company's general creditors. The Company's liability under the plan was $1,256 and $1,094 at August 31, 2014 and 2013, respectively.

Pension Plans

        The Company has non-contributory defined benefit pension plans covering employees of certain divisions of the Company. The Company has a funded, qualified plan ("Qualified Plan") and an unfunded supplemental plan ("Supplemental Plan") designed to maintain benefits for certain employees at the plan formula level. The plans provide for pension benefits determined by a participant's years of service and final average compensation. The Qualified Plan assets consist of separate pooled investment accounts with a trust company. The measurement date for the plans is August 31, 2014.

        Effective December 1, 2008, a soft freeze in the Qualified Plan was adopted whereby no new employees hired will be admitted to the Qualified Plan, with the exception of the International Association of Machinists and Aerospace Workers Union whose contract was amended in June 2012 to include a soft freeze with an effective date of July, 15, 2012. All eligible participants who were previously admitted to the plan prior to the applicable soft freeze dates will continue to accrue benefits as detailed in the plan agreements.

        NEPTCO has a defined benefit pension plan ("NEPTCO Pension Plan") covering substantially all of its union employees at its Pawtucket facility. This plan was frozen effective October 31, 2006, and as a result, no new participants can enter the plan and the benefits of current participants were frozen as of that date. The benefits are based on years of service and the employee's average compensation during the earlier of five years before retirement, or October 31, 2006. The NEPTCO Pension Plan assets consist of separate pooled investment accounts with a trust company. The measurement date for the NEPTCO Pension Plan is August 31, 2014.

        The following tables reflect the status of the Company's pension plans for the years ended August 31, 2014, 2013 and 2012:

	Year Ended August 31,
	2014			2013			2012
Change in benefit obligation
Projected benefit obligation at beginning of year	$	15,651		$	17,322		$	13,953
Acquired benefit obligation for Neptco pension plan		—			—			1,806
Service cost		323			352			482
Interest cost		643			503			532
Actuarial loss		2,933			1,019			1,908
Curtailments		—			24			—
Settlements		(1,233	)		(3,443	)		(1,316	)
Benefits paid		(38	)		(126	)		(43	)
Projected benefit obligation at end of year	$	18,279		$	15,651		$	17,322

48

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

	Year Ended August 31,
	2014			2013			2012
Change in plan assets
Fair value of plan assets at beginning of year	$	8,826		$	9,405		$	7,235
Fair value of Neptco pension plan assets		—			—			884
Actual return on plan assets		996			690			752
Employer contribution		267			2,300			1,893
Settlements		(1,233	)		(3,443	)		(1,316	)
Benefits paid		(38	)		(126	)		(43	)
Fair value of plan assets at end of year	$	8,818		$	8,826		$	9,405
Funded status at end of year	$	(9,461	)	$	(6,825	)	$	(7,917	)
Amounts recognized in consolidated balance sheets
Non-current assets	$	962		$	1,014		$	—
Current liabilities		(5	)		(5	)		(215	)
Non-current liabilities		(10,418	)		(7,834	)		(7,702	)
Net amount recognized in Consolidated Balance Sheets	$	(9,461	)	$	(6,825	)	$	(7,917	)
Actuarial present value of benefit obligation and funded status
Accumulated benefit obligations	$	16,362		$	13,842		$	14,735
Projected benefit obligations	$	18,279		$	15,651		$	17,322
Plan assets at fair value	$	8,818		$	8,826		$	9,405
Amounts recognized in accumulated other comprehensive Income
Prior service cost	$	64		$	67		$	82
Net actuarial loss		7,567			5,561			6,029
Adjustment to pre-tax accumulated other comprehensive income	$	7,631		$	5,628		$	6,111
Other changes in plan assets and benefit obligations recognized in other comprehensive income
Net loss	$	2,647		$	979		$	1,691
Amortization of loss		(293	)		(250	)		(276	)
Amortization of prior service cost		(3	)		(13	)		(74	)
Effect of settlement on accumulated other comprehensive income		(348	)		(1,198	)		(550	)
Total recognized in other comprehensive income		2,003			(482	)		791
Net periodic pension cost		900			1,690			1,378
Total recognized in net periodic pension cost and other comprehensive income	$	2,903		$	1,208		$	2,169
Estimated amounts that will be amortized from accumulated comprehensive income over the next fiscal year
Prior service cost	$	3		$	3		$	14
Net actuarial loss		307			293			337

        Prior service cost arose from the amendment of the plan's benefit schedules to comply with the Tax Reform Act of 1986 and adoption of the unfunded supplemental pension plan.

49

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

        Components of net periodic pension cost for the fiscal years ended August 31, 2014, 2013 and 2012 included the following:

	Year Ended August 31,
	2014			2013			2012
Components of net periodic benefit cost
Service cost	$	323		$	352		$	482
Interest cost		643			503			532
Expected return on plan assets		(710	)		(651	)		(536	)
Amortization of prior service cost		3			13			74
Amortization of accumulated loss		293			250			276
Settlement and curtailment loss		348			1,223			550
Net periodic benefit cost	$	900		$	1,690		$	1,378

        Weighted-average assumptions used to determine benefit obligations as of August 31, 2014, 2013 and 2012 are as follows:

	2014			2013			2012
Discount rate
Qualified plan		3.83	%		4.54	%		3.40	%
Supplemental plan		3.01	%		3.76	%		3.14	%
Neptco plan		4.06	%		4.63	%		3.77	%
Rate of compensation increase
Qualified and supplemental plan		3.50	%		3.50	%		3.50	%
Neptco plan		0.00	%		0.00	%		0.00	%

        Weighted-average assumptions used to determine net periodic benefit cost for the years ended August 31, 2014, 2013 and 2012 are as follows:

	2014			2013			2012
Discount rate
Qualified plan		4.54	%		3.40	%		4.73	%
Supplemental plan		3.76	%		3.14	%		3.00	%
Neptco plan		4.63	%		3.77	%		4.08	%
Expected long-term return on plan assets
Qualified plan		8.00	%		8.00	%		8.00	%
Supplemental plan		0.00	%		0.00	%		0.00	%
Neptco plan		8.00	%		8.00	%		8.00	%
Rate of compensation increase
Qualified and supplemental plan		3.50	%		3.50	%		3.50	%
Neptco plan		0.00	%		0.00	%		0.00	%

        It is the Company's policy to evaluate, on an annual basis, the discount rate used to determine the projected benefit obligation to approximate rates on high-quality, long-term obligations. The Moody's Corporate Aa Bond index has generally been used as a benchmark for this purpose, with adjustments made if the duration of the index differed from that of the plan. For periods since August 31, 2008, the discount rate has been determined by matching the expected payouts from the respective plans to the spot rates inherent in the Citigroup Pension Discount Curve. A single rate is then developed, that when applied to the expected cash flows, results in the same present value as determined using the various spot rates. The Company believes that this approach produces the most appropriate approximation of the plan liability.

50

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

        The Company estimates that for each 100 basis point reduction in the discount rate would result in additional net periodic pension cost, the Company's primary pension obligation, of approximately $81 for the Qualified Plan and $3 for the Supplemental Plan. For the current fiscal year, the NEPTCO Pension Plan expense is insignificant so sensitivity disclosure is not presented. The expected return on plan assets is derived from a periodic study of long-term historical rates of return on the various asset classes included in the Company's targeted pension plan asset allocation. The Company estimates that each 100 basis point reduction in the expected return on plan assets would result in additional net periodic pension cost of approximately $76 for the Qualified Plan. No rate of return is assumed for the Supplemental Plan since that plan is currently not funded. The rate of compensation increase is also evaluated and is adjusted by the Company, if necessary, periodically.

Qualified Plan Assets

        The investment policy for the Qualified Plan is based on ERISA standards for prudent investing. The fundamental goal underlying the investment policy is to ensure that the assets of the plans are invested in a prudent manner to meet the obligations of the plans as these obligations come due. The primary investment objectives include providing a total return which will promote the goal of benefit security by attaining an appropriate ratio of plan assets to plan obligations, to provide for real asset growth while also tracking plan obligations, to diversify investments across and within asset classes, to reduce the impact of losses in single investments, and to follow investment practices that comply with applicable laws and regulations.

        The primary policy objectives will be met by investing assets to achieve a reasonable tradeoff between return and risk relative to the plans' obligations. This includes investing a portion of the assets in funds selected in part to hedge the interest rate sensitivity to plan obligations.

        The Qualified Plan assets are invested in a diversified mix of United States equity and fixed income securities. Asset manager performance is reviewed at least annually and benchmarked against the peer universe for the given investment style. The Company's expected return for the Qualified Plan is 8.0%. To determine the expected long-term rate of return on the assets for the Qualified Plan, the Company considered the historical and expected return on the plan assets, as well as the current and expected allocation of the plan assets.

        Asset allocation is monitored on an ongoing basis relative to the established asset class targets. The interaction between plan assets and benefit obligations is periodically studied to assist in the establishment of strategic asset allocation targets. The investment policy permits variances from the targets within certain parameters. Asset rebalancing occurs when the underlying asset class allocations move outside these parameters at which time the asset allocation is rebalanced back to the policy target weight.

        The Qualified Plan has the following target allocation and weighted-average asset allocations as of August 31, 2014, 2013 and 2012:

		Percentage of Plan Assets as of August 31,
	Target Allocation Range
Asset Category		2014	2013	2012
Equity securities	40-70%	43%	56%	54%
Debt securities	20-50%	51%	40%	39%
Real estate	0-15%	0%	4%	5%
Other	0-10%	6%	0%	2%
Total	100%	100%	100%	100%

NEPTCO Pension Plan Assets

        The investment policy for the NEPTCO Pension Plan is based on ERISA standards for prudent investing. The fundamental goal underlying the investment policy is to ensure that the assets of the plans are invested in a prudent manner to meet the obligations of the plan as these obligations come due. The primary investment objectives include maximization of return within reasonable and prudent levels of risk, provision of returns

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CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

comparable to returns for similar investment options, provision of exposure to a wide range of investment opportunities in various asset classes and vehicles, control administrative and management costs, provision of appropriate diversification within investment vehicles, and govern investment manager's adherence to stated investment objectives and style.

        The primary policy objectives will be met by investing assets to achieve a reasonable tradeoff between return and risk relative to the plans' obligations. This includes investing a portion of the assets in funds selected in part to hedge the interest rate sensitivity to plan obligations.

        The NEPTCO Pension Plan assets are invested in a diversified mix of fixed income, and both domestic and foreign equity investments. The ongoing monitoring of investments is a regular and disciplined process and confirms that the criteria remain satisfied. The process of monitoring investment performance relative to specified guidelines is consistently applied.

        The Company's expected return for the NEPTCO Pension Plan is 8.0%. To determine the expected long-term rate of return on the assets for the NEPTCO Pension Plan, the Company considered the historical and expected return on the plan assets, as well as the current and expected allocation of the plan assets.

        The NEPTCO Pension Plan has the following target allocation and weighted-average asset allocations as of August 31, 2014, 2013 and 2012:

		Percentage of Plan Assets as of August 31,
	Target Allocation Range
Asset Category		2014		2013		2012
Equity securities	20-65%		30%		56%		50%
Debt securities	35-80%		60%		44%		50%
Other	0-10%		10%		0%		0%
Total	100%		100%		100%		100%

Fair Market Value of Pension Plan Assets

        The Company is required to categorize pension plan assets using a three-tier fair value hierarchy, which classifies the inputs used in measuring fair values. These tiers include: Level 1, defined as observable inputs such as quoted prices for identical instruments in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.

        The following table presents the Company's pension plan assets at August 31, 2014 and 2013 by asset category:

			Fair value measurements at August 31, 2014:								Fair value measurements at August 31, 2013:
	August 31, 2014		Quoted prices in active markets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)		August 31, 2013		Quoted prices in active markets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)
Asset Category
Equity securities	$	3,629	$	3,629	$	—	$	—	$	4,939	$	4,056	$	883	$	—
Debt securities		4,610		4,610		—		—		3,553		2,795		758		—
Real estate		—		—		—		—		334		—		334		—
Other		579		579		—		—		—		—		—		—
Total	$	8,818	$	8,818	$	—	$	—	$	8,826	$	6,851	$	1,975	$	—

52

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

        Level 1 Assets: The fair values of the common stocks, corporate bonds and U.S. Government securities included in this tier are based on the closing price reported on the active market where the individual securities are traded.

        Level 2 Assets: The fair values of the common/collective trust funds included in this tier are not traded on active markets. These common/collective trust funds are valued based on the calculated unit values. The unit values are based on the fair value of the underlying assets of the common/collective trust funds derived from inputs principally based on quoted market prices in an active market or corroborated by observable market data by correlation or other means.

Estimated Future Benefit Payments

        The following pension benefit payments (which include expected future service) are assumed to be paid in each of the following fiscal years based on the participants' normal retirement age:

Year ending August 31,	Pension Benefits
2015	$	9,628
2016		302
2017		358
2018		630
2019		405
2020-2024	$	2,657

        The Company contributed $267, $2,300 and $1,893 to fund its obligations under the pension plans for the years ended August 31, 2014, 2013 and 2012, respectively. The Company's pension plans are fully funded as of August 31, 2014 and there are no required contributions currently for fiscal 2015. If a contribution should be required, the Company plans to make the necessary contributions during fiscal 2015 to ensure its pension plans continue to be adequately funded given the current market conditions.

Note 10—Stockholders' Equity

2013 Equity Incentive Plan

        In October 2012, the Company adopted and the stockholders subsequently approved the 2013 Equity Incentive Plan (the "2013 Plan"). The 2013 Plan permits the grant of restricted stock, stock options, deferred stock, stock payments or other awards to employees, participating officers, directors, consultants and advisors who are linked directly to increases in shareholder value. The aggregate number of shares available for grant under the 2013 Plan is 1,200,000. Additional shares may become available in connection with share splits, share dividends or similar transactions. As of August 31, 2014, the Company had not yet made any awards under the 2013 Plan.

2005 Incentive Plan

        In November 2005, the Company adopted and the stockholders subsequently approved the 2005 Incentive Plan (the "2005 Plan"). The 2005 Plan permits the grant of restricted stock, stock options, deferred stock, stock payments or other awards to employees, participating officers, directors, consultants and advisors who are linked directly to increases in shareholder value. The aggregate number of shares available for grant under the 2005 Plan was initially 1,000,000. Additional shares may become available in connection with share splits, share dividends or similar transactions. As of August 31, 2014, 67,007 shares remained available for future grant under the 2005 Plan.

2001 Senior Management Stock Plan and 2001 Non-Employee Director Stock Option Plan

        In October 2002, the Company adopted, and the stockholders subsequently approved, the 2001 Senior Management Stock Plan and the 2001 Non-Employee Director Stock Option Plan (the "2001 Plans"). The 2001

53

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

Plans reserved 1,500,000 and 180,000 shares of the Company's common stock for grants related to the Senior Management Stock Plan and Non-Employee Director Stock Option Plan, respectively.

        Under the terms of the Senior Management Stock Plan, equity awards may be granted in the form of incentive stock options, non-qualified stock options and restricted stock. Options granted under the Non-Employee Director Stock Option Plan were issued as non-qualified stock options. Options granted under the 2001 Plans generally vest over a period ranging from three to five years and expire after ten years.

        The Company is no longer granting equity awards under the 2001 Plans.

Restricted Stock

Employees and Executive Management

        In August 2009, the Board of Directors of Chase Corporation approved a plan for issuing a performance and service based restricted stock grant of 76,874 shares in the aggregate, subject to adjustment, to key members of management with an issue date of September 1, 2009 and a vesting date of August 31, 2012. Based on the fiscal year 2010 financial results, 68,453 additional shares of restricted stock were earned and granted subsequent to the end of fiscal year 2010 in accordance with the performance measurement criteria. The adjusted restricted stock award of 145,327 shares was issued in the form of common stock on August 31, 2012 upon vesting. Compensation expense was recognized on a ratable basis over the vesting period.

        In December 2009, restricted stock in amounts of 2,377 and 8,421 shares related to the September 2008 and 2009 grants, respectively, were forfeited in conjunction with the retirement of an executive officer of the Company.

        In August 2010, the Board of Directors of the Company approved the fiscal year 2011 Long Term Incentive Plan ("LTIP") for the executive officers. The fiscal 2011 LTIP is an equity based plan with a grant date of September 1, 2010. In addition to the stock option component described below, the plan contained the following restricted stock components: (a) a performance and service based restricted stock grant of 32,835 shares in the aggregate, subject to adjustment, with a vesting date of August 31, 2013, for which compensation expense was recognized on a ratable basis over the vesting period based on quarterly probability assessments; and (b) a time-based restricted stock grant of 16,417 shares in the aggregate, and a vesting date of August 31, 2013, for which compensation expense was recognized on a ratable basis over the vesting period.

        Based on the fiscal year 2011 financial results, 32,835 additional shares of restricted stock (total of 65,670 shares) were earned and granted subsequent to the end of fiscal year 2011 in accordance with the performance measurement criteria. No further performance-based measurements apply to this award.

        In April 2011, the Board of Directors of the Company approved a plan for issuing a time-based restricted stock grant of 4,249 shares in the aggregate to certain non-executive officer employees, with an issue date of April 30, 2011 and a vesting date of April 30, 2014. Compensation expense is being recognized on a ratable basis over the vesting period.

        In August 2011, the Board of Directors of the Company approved the fiscal year 2012 LTIP for the executive officers. The fiscal 2012 LTIP is an equity based plan with a grant date of September 1, 2011. In addition to the stock option component described below, the plan contained the following restricted stock components: (a) a performance and service based restricted stock grant of 33,798 shares in the aggregate, subject to adjustment, with a vesting date of August 31, 2014, for which compensation expense is recognized on a ratable basis over the vesting period based on quarterly probability assessments; and (b) a time-based restricted stock grant of 16,899 shares in the aggregate, and a vesting date of August 31, 2014, for which compensation expense is recognized on a ratable basis over the vesting period.

        Based on the fiscal year 2012 financial results, 33,798 additional shares of restricted stock (total of 67,596 shares) were earned and granted subsequent to the end of fiscal year 2012 in accordance with the performance measurement criteria. No further performance-based measurements apply to this award.

54

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

        In August 2011, the Board of Directors of the Company approved a plan for issuing a time-based restricted stock grant of 5,037 shares in the aggregate to certain non-executive officer employees, with an issue date of September 1, 2011 and a vesting date of August 31, 2014. Compensation expense is being recognized on a ratable basis over the vesting period.

        In December 2011, restricted stock in the amount of 1,887 shares related to the April 2011 grant was forfeited in conjunction with the termination of employment of a non-executive officer of the Company.

        In March 2012, the Board of Directors of the Company approved a plan for issuing a time-based restricted stock grant of 1,368 shares to a non-executive officer employee, with an issue date of March 8, 2012 and a vesting date of August 31, 2012. Compensation expense was recognized on a ratable basis over the vesting period.

        In October 2012, the Board of Directors of the Company approved the fiscal year 2013 LTIP for the executive officers and other members of management. The 2013 LTIP is an equity based plan with a grant date of October 22, 2012. In addition to the stock option component described below, the plan contained the following restricted stock components: (a) a performance and service based restricted stock grant of 11,861 shares in the aggregate, subject to adjustment, with a vesting date of August 31, 2014, for which compensation expense is recognized on a ratable basis over the vesting period based on quarterly probability assessments; and (b) a time-based restricted stock grant of 16,505 and 1,931 shares in the aggregate, with a vesting date of August 31, 2015 and August 31, 2013, respectively, for which compensation expense is recognized on a ratable basis over the vesting period.

        Based on the fiscal year 2013 financial results, 11,861 additional shares of restricted stock (total of 23,722 shares) were earned and granted subsequent to the end of fiscal year 2013 in accordance with the performance measurement criteria. No further performance-based measurements apply to this award.

        In September 2013, the Board of Directors of the Company approved the fiscal year 2014 LTIP for the executive officers and other members of management. The 2014 LTIP is an equity based plan with a grant date of September 1, 2013. In addition to the stock option component described below, the plan contained the following restricted stock components: (a) performance and service-based restricted stock grant of 7,529 shares in the aggregate, subject to adjustment, with a vesting date of August 31, 2016, for which compensation expense is recognized on a ratable basis over the vesting period based on quarterly probability assessments; and (b) a time-based restricted stock grant of 8,323 and 1,040 shares in the aggregate, with vesting dates of August 31, 2016 and August 31, 2014, respectively, for which compensation expense is recognized on a ratable basis over the vesting period.

Non-Employee Board of Directors

        In February 2011, non-employee members of the Board received a total grant of 11,031 shares of restricted stock for service for the period from January 31, 2011 through January 31, 2012. The shares of restricted stock vested at the conclusion of this service period. Compensation was recognized on a ratable basis over the twelve month vesting period.

        In February 2012, non-employee members of the Board received a total grant of 10,085 shares of restricted stock for service for the period from January 31, 2012 through January 31, 2013. The shares of restricted stock vested at the conclusion of the service period. Compensation was recognized on a ratable basis over the twelve month vesting period.

        Beginning in 2013, the annual retainer for non-employee members of the Board of Directors includes a combined total of $144 of Chase Corporation common stock, in the form of restricted stock valued in conjunction with the start of the new year of board service which generally coincides with the Company's annual shareholder meeting. The stock award vests one year from the date of grant. In February 2013, non-employee members of the Board received a total grant of 7,706 shares of restricted stock for service for the period from January 31, 2013 through January 31, 2014. The shares of restricted stock vested at the conclusion of this service period. Compensation was recognized on a ratable basis over the twelve month vesting period.

55

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

        In February 2014, non-employee members of the Board received a total grant of 4,878 shares of restricted stock for service for the period from January 31, 2014 through January 31, 2015. The shares of restricted stock will vest at the conclusion of this service period. Compensation is being recognized on a ratable basis over the twelve month vesting period.

Stock Options

        In April 2011, the Board of Directors of the Company authorized a grant of stock options to certain non-executive officer employees to purchase 15,201 shares of common stock in the aggregate with an exercise price of $16.53 per share. The options vested in three equal annual allotments beginning on April 30, 2012 and ending on April 30, 2014. The options will expire on April 30, 2021. Compensation expense was recognized over the period of the award on an annual basis consistent with the vesting terms.

        In August 2011, the Board of Directors of the Company approved the fiscal year 2012 LTIP for the executive officers. The fiscal 2012 LTIP is an equity based plan with a grant date of September 1, 2011 and included options to purchase 59,493 shares of common stock in the aggregate. Each of these options has an exercise price of $12.77 per share, and vested in three equal annual allotments beginning on August 31, 2012 and ending on August 31, 2014. The options will expire on August 31, 2021. Compensation expense was recognized over the period of the award on an annual basis consistent with the vesting terms.

        In August 2011, the Board of Directors of the Company authorized a grant of stock options with a grant date of September 1, 2011 to certain non-executive officer employees to purchase 20,883 shares of common stock in the aggregate with an exercise price of $12.77 per share. The options vested in three equal annual allotments beginning on August 31, 2012 and ending on August 31, 2014. The options will expire on August 31, 2021. Compensation expense was recognized over the period of the award on an annual basis consistent with the vesting terms.

        In March 2012, the Board of Directors of the Company authorized a grant of stock options to a non-executive officer employee to purchase 6,630 shares of common stock with an exercise price of $14.62 per share. The options will vest in three equal annual allotments beginning on March 8, 2013 and ending on March 8, 2015. The options will expire on March 8, 2022. Compensation expense is being recognized over the period of the award on an annual basis consistent with the vesting terms.

        In October 2012, the Board of Directors of the Company approved the fiscal year 2013 LTIP for the executive officers and other members of management. The 2013 LTIP is an equity based plan with a grant date of October 22, 2012 and included options to purchase 43,964 shares of common stock in the aggregate with an exercise price of $16.00 per share. The options will vest in three equal annual allotments beginning on August 31, 2013 and ending on August 31, 2015. The options will expire on October 22, 2022. Compensation expense is being recognized over the period of the award on an annual basis consistent with the vesting terms.

        In September 2013, the Board of Directors of the Company approved the fiscal year 2014 LTIP for the executive officers and other members of management. The 2014 LTIP is an equity-based plan with a grant date of September 1, 2013 and included options to purchase 25,969 shares of common stock in the aggregate with an exercise price of $29.72 per share. The options will vest in three equal annual allotments beginning on August 31, 2014 and ending on August 31, 2016. The options will expire on August 31, 2023. Compensation expense is recognized over the period of the award on an annual basis consistent with the vesting terms.

56

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

        The following table summarizes information about stock options outstanding as of August 31, 2014:

	Options Outstanding								Options Exercisable
Exercise Prices	Number Outstanding		Weighted Avg. Remaining Contractual Life		Weighted Average Exercise Price		Aggregate Intrinsic Value		Number Exercisable		Weighted Average Exercise Price		Aggregate Intrinsic Value
$11.15		56,250		5.0 years	$	11.15	$	1,370		56,250	$	11.15	$	1,370
$12.70		62,425		6.0 years		12.70		1,424		62,425		12.70		1,423
$12.77		74,130		7.0 years		12.77		1,685		47,333		12.77		1,076
$14.62		4,420		7.5 years		14.62		92		—		14.62		—
$16.00		43,964		8.1 years		16.00		857		14,655		16.00		286
$16.53		196,743		4.0 years		16.53		3,732		196,743		16.53		3,732
$29.72		25,969		9.0 years		29.72		150		—		29.72		—
		463,901		5.6 years	$	15.43	$	9,310		377,406	$	14.60	$	7,887

        All stock option plans have been approved by the Company's stockholders. Options are granted with an exercise price that is equal to the closing market value of the Company's common stock on the day preceding the grant date.

        A summary of the transactions of the Company's stock option plans for the years ended August 31, 2014, 2013 and 2012 is presented below:

	Officers and Employees			Weighted Average Exercise Price
Options outstanding as of August 31, 2011		477,626		$	14.34
Granted		87,006			12.91
Exercised		—			—
Forfeited or cancelled		(6,750	)		16.53
Options outstanding at August 31, 2012		557,882		$	14.23
Granted		43,964			16.00
Exercised		(49,042	)		11.46
Forfeited or cancelled		—			—
Options outstanding at August 31, 2013		552,804		$	14.48
Granted		25,969			29.72
Exercised		(114,872	)		14.06
Forfeited or cancelled		—			—
Options outstanding at August 31, 2014		463,901		$	15.43
Options exercisable at August 31, 2014		377,406		$	14.60

        The weighted average grant date fair value of options granted in the years ended August 31, 2014, 2013 and 2012 was $10.52, $4.23 and $3.12 per share, respectively.

        The total pretax intrinsic value of stock options exercised was $2,153 and $678 for the years ended August 31, 2014 and 2013, respectively.

        Excluding the common stock currently reserved for issuance upon exercise of the 463,901 outstanding options, there are 1,267,007 shares of common stock available for future issuance under the Company's equity compensation plans.

57

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

        The income tax benefit realized from stock options exercised, vesting of restricted stock and issuance of stock pursuant to grants of restricted stock units was $1,324, $622 and $209 for the years ended August 31, 2014, 2013 and 2012, respectively.

        As of August 31, 2014, 60,957 shares of restricted stock were outstanding with exercise prices ranging from $16.00 - $29.72.

        As of August 31, 2014, unrecognized expense related to all stock based compensation described above is $690, which will be recognized over the next two fiscal years.

Note 11—Segment Data

        The Company is organized into two operating segments, an Industrial Materials segment and a Construction Materials segment. The segments are distinguished by the nature of the products and how they are delivered to their respective markets.

        The Industrial Materials segment reflects specified products that are used in, or integrated into, another company's product with demand dependent upon general economic conditions. Industrial Materials products include insulating and conducting materials for wire and cable manufacturers, moisture protective coatings for electronics and printing services, laminated durable papers, laminates for the packaging and industrial laminate markets, pulling and detection tapes used in the installation, measurement and location of fiber optic cables, water and natural gas lines, cover tapes essential to delivering semiconductor components via tape and reel packaging, and wind energy composite materials and elements. Additionally, the Industrial Materials segment includes a joint venture which produces glass-based strength elements designed to allow fiber optic cables to withstand mechanical and environmental strain and stress.

        The Construction Materials segment comprises project-oriented product offerings that are primarily sold and used as "Chase" branded products. Construction Materials products include protective coatings for pipeline applications, coating and lining systems for use in liquid storage and containment applications, high performance polymeric asphalt additives, and expansion and control joint systems for use in the transportation and architectural markets.

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CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

        The following tables summarize information about the Company's segments:

	Years Ended August 31,
	2014			2013			2012
Revenues
Industrial Materials	$	169,657		$	163,474		$	95,988
Construction Materials		54,349			52,588			52,931
Total	$	224,006		$	216,062		$	148,919
Income before taxes
Industrial Materials	$	40,015		$	26,400		$	17,643
Construction Materials		8,157			6,463			4,913
Total for reportable segments		48,172			32,863			22,556
Corporate and common costs		(7,682	)		(7,053	)		(8,560	)
Total	$	40,490		$	25,810		$	13,996
Includes the following costs by segment:
Industrial Materials
Interest	$	959		$	928		$	106
Depreciation		4,650			4,914			2,261
Amortization		3,094			3,082			999
Construction Materials
Interest	$	184		$	366		$	292
Depreciation		982			921			902
Amortization		1,727			1,684			1,690

	As of August 31,
	2014		2013
Total assets
Industrial Materials	$	127,820	$	133,110
Construction Materials		50,972		48,573
Total for reportable segments		178,792		181,683
Corporate and common assets		66,753		42,677
Total	$	245,545	$	224,360

Note 12—Export Sales and Foreign Operations

        Export sales from continuing domestic operations to unaffiliated third parties were $21,212, $22,827 and $21,204 for the years ended August 31, 2014, 2013 and 2012, respectively. Export sales had a slight decline in fiscal 2014 as compared to fiscal 2013 primarily due to the prior year's inclusion of some large export shipments of our C.I.M. products that were not repeated in fiscal 2014.

        The Company's products are sold world-wide. For the years ended August 31, 2014, 2013 and 2012, sales from its operations located in the United Kingdom accounted for 10%, 7% and 12%, respectively of the Company's total revenues. No other foreign geographic area accounted for more than 10% of total revenues for any of the years ended August 31, 2014, 2013 and 2012.

        As of August 31, 2014 and 2013, the Company had long-lived assets (defined as tangible assets providing the Company with a future economic benefit beyond the current year or operating period, including buildings, equipment and leasehold improvements) of $4,349 and $4,063, respectively, located in the United Kingdom. These balances exclude goodwill and intangibles of $9,924 and $10,333, as of August 31, 2014 and 2013, respectively. No

59

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

foreign geographic area accounted for more than 10% of the Company's total assets as of August 31, 2014 and 2013.

Note 13—Supplemental Cash Flow Data

        Supplemental cash flow information for the years ended August 31, 2014, 2013 and 2012 is as follows:

	2014			2013		2012
Income taxes paid	$	15,084		$	9,913	$	5,561
Interest paid	$	1,224		$	1,545	$	352
Non-cash Investing and Financing Activities
Common stock received for payment of stock option exercises	$	1,550		$	488	$	—
Property, plant & equipment additions included in accounts payable	$	91		$	112	$	117
Sale of Insulfab product line
Current assets (excluding cash)	$	(3,153	)
Property and equipment		(1,062	)
Accounts payable and accrued liabilities		3
Gain on sale of business		(5,706	)
Cash received from sale of product line, net of transaction costs	$	9,918
Acquisition of Neptco Inc
Current assets (excluding cash)						$	24,948
Property and equipment							18,657
Goodwill							19,668
Intangible assets							23,165
Accounts payable and accrued liabilities							(10,841	)
Long term liabilities							(736	)
Deferred tax liabilities							(11,051	)
Minority interest of joint venture partner							(1,593	)
Cash provided through operating cash and increase in debt						$	(62,217	)

Note 14—Acquisitions

NEPTCO Incorporated

        In the fourth quarter of fiscal 2012, Chase acquired 100% of the capital stock of NEPTCO, a private company based in Pawtucket, RI, whose core products are sold primarily into the broadband communications and electronics packaging industries. NEPTCO operates three manufacturing facilities in the United States and one in China, as well as utilizing distribution facilities in Rotterdam, Netherlands and Mississauga, Ontario to assist in supply chain management. As part of this transaction, the Company also acquired NEPTCO's 50% ownership stake in a joint venture.

        The total acquisition cost, net of cash received, was $62,217, subject to the finalization of purchase accounting, which was completed in the fourth quarter of fiscal 2013 and did not have a significant impact on the financial statements of the Company. The acquisition was funded through a five year term debt bank financing arrangement led and arranged by Bank of America, with participation from RBS Citizens.

        The effective date for this acquisition was June 27, 2012 and the results of this acquisition have been included in the Company's financial statements since then. The acquisition was accounted for as a business combination under ASC Topic 805, "Business Combinations." In accordance with this accounting standard, the Company expensed $3,206 of acquisition related costs during the year ended August 31, 2012.

60

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

        The acquisition cost has been allocated to the acquired tangible and identifiable intangible assets and liabilities assumed based on their fair values as of the date of the acquisition:

Assets & Liabilities	Amount
Current assets (net of cash acquired)	$	24,948
Property, plant & equipment		18,657
Goodwill		19,668
Intangible assets		23,165
Accounts payable and accrued liabilities		(10,841	)
Long term liabilities		(736	)
Deferred tax liabilities		(11,051	)
Non-controlling interest of joint venture partner		(1,593	)
Total purchase price	$	62,217

        The excess of the purchase price over the net tangible and intangible assets acquired resulted in goodwill of $19,668 that is largely attributable to the synergies and economies of scale from combining the operations and technologies of Chase and NEPTCO, particularly as it pertains to the expansion of the Company's product and service offerings, the established workforce, and marketing efforts. This goodwill is not deductible for income tax purposes.

        All assets, including goodwill, acquired as part of NEPTCO are included in the Industrial Materials segment. Identifiable intangible assets purchased with this transaction are as follows:

Intangible Asset	Amount		Useful life
Customer Relationships	$	15,330	10 years
Trade names		4,988	6 years
Technology		2,267	8 years
Backlog		20	4 months
Prepaid patent costs		560	10 years (1)
Total intangible assets	$	23,165

(1)

To be amortized once placed in service

        All acquisitions have been accounted for as purchase transactions and the operations of the acquired entity or assets are included in consolidated operations from the effective date.

Acquisition of outstanding non-controlling membership interest in NEPTCO JV LLC

        On October 31, 2014, the Company purchased the 50% non-controlling membership interest of NEPTCO JV LLC (the "JV") owned by its now-former joint venture partner, an otherwise unrelated party. The purchase consideration due at the time of closing was not deemed to be material to the Company, and is subject to certain contingent adjustments based on certain future events related to the JV. The Company does not believe that these contingent adjustments will be material to the Company. The purchase was funded entirely with available cash on hand. Because of the Company's controlling financial interest, the JV's assets, liabilities and results of operations have been consolidated within the Company's consolidated financial statements since June 27, 2012, the date the Company acquired NEPTCO. Given the Company's 100% ownership as of October 31, 2014, in subsequent periods the Company will continue to fully consolidate assets, liabilities and results of operations, but will no longer record an offsetting amount for a non-controlling interest. See Note 15 for additional information on the JV.

61

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

Note 15—Joint Venture

        The NEPTCO JV LLC ("JV") was originally formed in 2003 by NEPTCO and a joint venture partner, an otherwise unrelated party (collectively, the "members"), whereby each member's fiber optic strength elements businesses were combined. This venture, which was 50% owned by each member, was managed and operated on a day-to-day basis by NEPTCO. The JV operates out of the Company's Granite Falls, NC facility.

        The Company accounts for the joint venture partner's non-controlling interest in the JV under ASC Topic 810 "Consolidations" ("ASC 810"). Based on the criteria in ASC 810, the Company determined that the JV qualifies as a variable interest entity ("VIE"). Because of the Company's controlling financial interest, the JV's assets and liabilities and results of operations have been consolidated within the Company's consolidated financial statements since June 27, 2012, the date the Company acquired NEPTCO. An offsetting amount equal to 50% of net assets and net income (loss) of the JV has been recorded within the Company's consolidated financial statements to the non-controlling interest, representing the joint venture partner's 50% ownership interest and pro rata share in the JV.

        At August 31, 3014 and 2013, the following amounts were consolidated in the Company's balance sheets related to the JV:

	August 31,
Assets	2014		2013
Cash	$	282	$	394
Accounts receivable, net		1,495		1,106
Inventories, net		1,397		1,510
Prepaid expenses and other assets		255		283
Property, plant and equipment, net		350		448
Intangible assets, net		559		706
Total assets	$	4,338	$	4,447
Liabilities and net assets
Accounts payable and accrued expenses	$	616	$	679
Due to Members		1,847		1,677
Total liabilities	$	2,463	$	2,356
Net assets	$	1,875	$	2,091
Non-controlling interest	$	938	$	1,046

        Effective on the date of the JV's inception, and for four years following the date on which the members no longer own any membership interest in the JV, non-compete agreements exist between the members. Each member retained the right to tender an offer to buy the other member's share. Once an offer is tendered, the tendered member has the option to either sell, or match the initial offer to purchase the tendering member's share.

        See Note 14 for additional information regarding the Company's October 2014 acquisition of the 50% outstanding non-controlling membership interest in NEPTCO JV LLC.

        Under the JV agreement, the JV is barred from issuing third party debt, other than customary accounts payable resulting from its normal trade operations. The liabilities of the JV are not guaranteed by any portion of NEPTCO or the Company.

        The JV has agreed to purchase a minimum of 80% of its total glass fiber requirements from the other joint venture partner. Additionally, the JV has agreed to purchase private-label products exclusively from an affiliate of the other joint venture partner; however, the JV is not subject to a minimum purchase requirement on private-label products. Purchases from the joint venture partner totaled $1,610 and $1,818 for the years ended August 31, 2014 and 2013, respectively. The JV had amounts due to the other joint venture partner of $394 and $378 at August 31, 2014 and 2013, respectively.

62

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

Note 16—Fair Value Measurements

        The Company generally defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). The Company uses a three-tier fair value hierarchy, which classifies the inputs used in measuring fair values. These tiers include: Level 1, defined as observable inputs such as quoted prices for identical instruments in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.

        The Company endeavors to utilize the best available information in measuring fair value. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company has determined that it does not have any financial liabilities measured at fair value other than long-term debt and that its financial assets are currently all classified within Level 1 in the fair value hierarchy. The financial assets classified as Level 1 as of August 31, 2014 and 2013 represent investments which are restricted for use in a nonqualified retirement savings plan for certain key employees and directors.

        The following table sets forth the Company's financial assets that were accounted for at fair value on a recurring basis as of August 31, 2014 and 2013:

					Fair value measurement category
	Fair value measurement date		Total		Quoted prices in active markets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)
Assets:
Restricted investments		August 31, 2014	$	1,256	$	1,216	$	40	$	—
Restricted investments		August 31, 2013	$	1,094	$	1,094	$	—	$	—

        The following table presents the fair values of the Company's long-term debt as of August 31, 2014 and 2013 which is recorded at its carrying amount:

					Fair value measurement category
	Fair value measurement date		Total		Quoted prices in active markets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)
Liabilities:
Long-term debt		August 31, 2014	$	58,800	$	—	$	58,800	$	—
Long-term debt		August 31, 2013	$	64,400	$	—	$	64,400	$	—

        The carrying value of the long-term debt approximates its fair value, as the interest rate is set based on the movement of the underlying market rates.

63

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

Note 17—Net Income Per Share

        The determination of earnings per share under the two-class method is as follows:

	Years Ended August 31,
	2014		2013		2012
Net income attributable to Chase Corporation	$	26,631	$	17,214	$	9,338
Less: Allocated to participating securities		449		396		295
Available to common shareholders	$	26,182	$	16,818	$	9,043
Basic weighted averages shares outstanding		8,952,026		8,860,972		8,761,262
Additional dilutive common stock equivalents		213,640		117,466		25,488
Diluted weighted averages shares outstanding		9,165,666		8,978,438		8,786,750
Net income available to common shareholders, per common and common equivalent share
Basic	$	2.92	$	1.90	$	1.03
Diluted	$	2.86	$	1.87	$	1.03

        For the year ended August 31, 2012, stock options to purchase 265,081 shares of common stock were outstanding, but were not included in the calculation of diluted net income per share because the options' exercise prices were greater than the average market price of the common stock and thus would be anti-dilutive. No stock options were excluded from the calculation for the years ended August 31, 2014 and 2013. Included in the calculation of dilutive common stock equivalents are the unvested portion of restricted stock, restricted stock units and stock options.

Note 18—Sale of Insulfab Product Line

        On October 7, 2013, the Company sold substantially all of its property and assets, including intellectual property, comprising the Insulfab® product line, to an unrelated third party ("Buyer"). The Insulfab product line is primarily focused on manufacturing high quality, engineered barrier laminates used in aerospace applications. The sale proceeds of $7,394 were subject to certain post-closing adjustments based on the change in the final net book value compared to the bid date net book value. In the quarter ending November 30, 2013, management determined these post-closing adjustments resulted in an increase in the sale proceeds of $2,516 based on the increase of inventory sold to the Buyer at closing. This adjustment was settled and paid by the Buyer to the Company in the quarter ending February 28, 2014, net of amounts held in escrow.

        This transaction resulted in a pre-tax book gain of $5,706 ($3,709 after-tax gain) which was recorded in the quarter ending November 30, 2013. The portion of the sale price held in escrow of $739 is recorded as a current asset (Due from sale of product line) as of August 31, 2014, and is available to resolve any submitted claims or adjustments up to 18 months from the closing date of the Insulfab sale.

        The following table summarizes information about the Insulfab product line as of October 7, 2013 and August 31, 2013:

	October 7, 2013			August 31, 2013
Inventory	$	3,153		$	885
Property & equipment		1,062			1,060
Accrued expenses		(3	)		(40	)
	$	4,212		$	1,905

        As a result of the efforts to market and sell this product line beginning in the fourth quarter of fiscal 2013, the Company had classified the Insulfab assets (including inventory and equipment) as assets held for sale as of August 31, 2013. This product line and related assets were part of the Company's Industrial Materials segment.

64

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

Note 19—Contingencies

        The Company is involved from time to time in litigation incidental to the conduct of its business. Although the Company does not expect that the outcome in any of these matters, individually or collectively, will have a material adverse effect on its financial condition, results of operations or cashflows, litigation is inherently unpredictable. Therefore, judgments could be rendered or settlements entered, that could adversely affect the Company's operating results or cash flows in a particular period. The Company routinely assesses all of its litigation and threatened litigation as to the probability of ultimately incurring a liability, and records its best estimate of the ultimate loss in situations where the Company assesses the likelihood of loss as probable.

Note 20—Related Party Agreements

        As part of the Company's purchase of NEPTCO in June 2012, it also acquired NEPTCO's 50% ownership stake in its financially-controlled joint venture, NEPTCO JV LLC ("JV"). The JV was originally formed by NEPTCO and a joint venture partner, Owens Corning, in 2003, whereby each member's fiber optic strength elements businesses were combined. Prior to the Company's October 31, 2014 purchase of the outstanding 50% non-controlling membership interest from its now-former joint venture partner, this venture, which was 50% owned by each member, was managed and operated on a day-to-day basis by NEPTCO. While operating under the joint ownership of the members, the JV had agreed to purchase a minimum of 80% of its total glass fiber requirements from Owens Corning. Additionally, the JV had agreed to purchase private-label products exclusively from an affiliate of the joint venture partner; however, the JV was not subject to a minimum purchase requirement on private-label products. These purchase agreements were terminated on October 31, 2014. Purchases from the joint venture partner totaled $1,610 and $1,818 for the years ended August 31, 2014 and 2013, respectively. The JV had amounts due to the other joint venture partner of $394 and $378 at August 31, 2014 and 2013, respectively. Please see Notes 14 and 15 to the Company's Consolidated Financial Statements for additional information on the JV.

Note 21—Selected Quarterly Financial Data (Unaudited)

        The following table presents unaudited operating results for each of the Company's quarters in the years ended August 31, 2014 and 2013:

	Fiscal Year 2014 Quarters
	First		Second		Third		Fourth		Year
Net Sales	$	53,655	$	50,412	$	56,973	$	59,994	$	221,034
Gross Profit on Sales		18,177		16,461		19,905		21,298		75,841
Net income attributable to Chase Corporation	$	8,775	$	4,520	$	6,324	$	7,012	$	26,631
Net income available to common shareholders, per common and common equivalent share:
Basic	$	0.96	$	0.50	$	0.69	$	0.77	$	2.92
Diluted	$	0.94	$	0.48	$	0.68	$	0.75	$	2.86

	Fiscal Year 2013 Quarters
	First		Second		Third		Fourth		Year
Net Sales	$	52,976	$	47,714	$	55,096	$	57,862	$	213,648
Gross Profit on Sales		15,705		14,247		18,264		19,398		67,614
Net income attributable to Chase Corporation	$	3,540	$	2,644	$	5,134	$	5,896	$	17,214
Net income available to common shareholders, per common and common equivalent share:
Basic	$	0.39	$	0.29	$	0.57	$	0.65	$	1.90
Diluted	$	0.39	$	0.29	$	0.56	$	0.64	$	1.87

        Note: Quarterly earnings per share amounts may not sum to earnings per share for the year due to rounding.

65

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

Note 22—Valuation and Qualifying Accounts

        The following table sets forth activity in the Company's accounts receivable reserve:

Year ended	Balance at Beginning of Year		Charges to Operations		Deductions to Reserves			Balance at End of Year
August 31, 2014	$	696	$	54	$	(80	)	$	670
August 31, 2013	$	817	$	135	$	(256	)	$	696
August 31, 2012	$	473	$	459	$	(115	)	$	817

        The charges to operations for the fiscal year ended August 31, 2012 include $94 recorded as part of the NEPTCO purchase accounting.

        The following table sets forth activity in the Company's warranty reserve:

Year ended	Balance at Beginning of Year		Charges to Operations		Deductions to Reserves			Balance at End of Year
August 31, 2014	$	248	$	20	$	2		$	270
August 31, 2013	$	249		—	$	(1	)	$	248
August 31, 2012	$	362	$	157	$	(270	)	$	249

Note 23—Accumulated Other Comprehensive Income

        The changes in accumulated other comprehensive income (loss), net of tax, were as follows:

	Restricted Investments			Change in Funded Status of Pension Plan			Foreign Currency Translation Adjustment			Total
Balance at August 31, 2012	$	59		$	(3,779	)	$	(1,310	)	$	(5,030	)
Other comprehensive gains (losses) before reclassifications		117			(898	)		(419	)		(1,200	)
Reclassifications to net income of previously deferred (gains) losses		(32	)		1,099			—			1,067
Other comprehensive income (loss)		85			201			(419	)		(133	)
Balance at August 31, 2013	$	144		$	(3,578	)	$	(1,729	)	$	(5,163	)
Other comprehensive gains (losses) before reclassifications		106			(1,796	)		2,055			365
Reclassifications to net income of previously deferred (gains) losses		(41	)		589			—			548
Other comprehensive income (loss)		65			(1,207	)		2,055			913
Balance at August 31, 2014	$	209		$	(4,785	)	$	326		$	(4,250	)

66

CHASE CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

In thousands, except share and per share amounts

        The following table summarizes the reclassifications from accumulated other comprehensive income (loss) to the consolidated statements of income:

	Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income
	Year Ended August 31,2014			Year Ended August 31,2013			Location of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income
Gains on Restricted Investments:
Realized gain on sale of restricted investments	$	(63	)	$	(51	)	Selling, general and administrative expenses
Tax expense		22			19
Gain net of tax	$	(41	)	$	(32	)
Loss on Funded Pension Plan adjustments:
Change in funded status of pension plan	$	80		$	521		Cost of products and services sold
Change in funded status of pension plan	$	820		$	1,169		Selling, general and administrative expenses
Tax benefit		(311	)		(591	)
Loss net of tax	$	589		$	1,099
Total net loss reclassified for the period	$	548		$	1,067

67

ITEM 9—CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE

        None.

ITEM 9A—CONTROLS AND PROCEDURES

DISCLOSURE CONTROLS AND PROCEDURES

        The Company maintains disclosure controls and procedures that are designed to ensure that information required to be disclosed in the Company's reports under the Securities Exchange Act of 1934 ("Exchange Act"), as amended, is recorded, processed, summarized and reported within the time periods specified in the Commission's rules and forms and that such information is accumulated and communicated to the Company's management, including its Chief Executive Officer and Chief Financial Officer, as appropriate, to allow for timely decisions regarding required disclosure. In designing and evaluating the disclosure controls and procedures, management recognizes that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives, and management is required to apply its judgment in evaluating the cost-benefit relationship of possible controls and procedures.

        The Company carries out a variety of ongoing procedures, under the supervision and with the participation of the Company's management, including the Company's Chief Executive Officer and Chief Financial Officer, to evaluate the effectiveness of the design and operation of the Company's disclosure controls and procedures. Based on the foregoing, the Company's Chief Executive Officer and Chief Financial Officer concluded that the Company's disclosure controls and procedures were effective at a reasonable assurance level as of the end of the period covered by this report.

MANAGEMENT'S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING

        Our management is responsible for establishing and maintaining adequate internal control over financial reporting. Internal control over financial reporting is defined in Rules 13a-15(f) and 15d-15(f) promulgated under the Exchange Act as a process designed by, or under the supervision of, our principal executive and principal financial officers, or persons performing similar functions, and effected by our board of directors, management and other personnel, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with U.S. GAAP.

        Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

        Under the supervision and with the participation of management, including the Chief Executive Officer and Chief Financial Officer, the Company conducted an evaluation of the effectiveness of the Company's internal control over financial reporting based on the framework in "Internal Control—Integrated Framework (1992)" issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Based on this assessment, management has concluded that the internal control over financial reporting was effective as of August 31, 2014.

        PricewaterhouseCoopers LLP, the independent registered public accounting firm that audited and reported on our consolidated financial statements contained herein, has audited the effectiveness of our internal control over financial reporting as of August 31, 2014, and has issued an attestation report on the effectiveness of our internal control over financial reporting included herein.

CHANGES IN INTERNAL CONTROL OVER FINANCIAL REPORTING

        Effective April 1, 2013, the Company began the process of implementing a single enterprise resource planning ("ERP") computer system world-wide. During the past 17 months, the Company expanded its existing ERP modules to all of its domestic locations which resulted in changes to the Company's processes and procedures affecting its internal control over financial reporting. The Company expects this process to be completed by December 2014 as it continues with its plan to deploy more effective and efficient processes to support the Company's financial reporting as it continues to grow in size and scale. Otherwise, there have not been any changes in the Company's internal control over financial reporting during its most recent fiscal year that have materially affected, or are reasonably likely to materially affect, its internal control over financial reporting.

68

ITEM 9B—OTHER INFORMATION

        On August 20, 2014, the Compensation and Management Development Committee of the Board of Directors of Chase Corporation (the "Company") approved the Chase Corporation Annual Incentive Plan and the Chase Corporation Long Term Incentive Plan, in each case for the Company's fiscal year ending August 31, 2015.

        Consistent with prior years, the Annual Incentive Plan provides participating executive team members the opportunity for cash bonuses based on the Company achieving a preset annual goal or target relating to earnings before interest, taxes, depreciation and amortization (EBITDA) for fiscal 2015. For each participating executive team member, target awards are valued at a specified percentage of base salary. The threshold for any payments to be made under the plan is 90% of the EBITDA target, at which point 50% of the target bonus would be paid. The maximum award of 200% of the target would be paid if actual EBITDA under the plan equals or exceeds 120% of the target.

        Also consistent with prior years, the Long Term Incentive Plan provides the opportunity for participating executive team members to participate in the long term growth of the Company through up to three types of equity awards: performance-based restricted stock awards, time-based restricted stock awards, and stock option awards. For each participating executive team member, total awards under the fiscal 2015 Long Term Incentive Plan are valued at a specified percentage of base salary. For the President and Chief Operating Officer, the performance share portion represents 50% of the total award (at target) and the time-based restricted stock and stock option awards represents 25% each. For the Chief Financial Officer, the performance share portion represents 67% of the total award (at target) and the time-based restricted stock awards represent the remaining 33%. The performance-based restricted stock is granted subject to achieving certain preset annual goals relating to the Company's earnings per share (EPS) for fiscal 2015, and can be adjusted up or down depending on performance. For any of the performance-based shares to vest, 90% of the EPS target must be met, at which point 50% of the award would vest. The full award would vest at 100% of the EPS target, and the award may be adjusted upward to a maximum of 200% of the target award at 120% of the EPS target. For purposes of the plan, EPS is determined using the number of weighted average diluted shares outstanding on August 31, 2014, the last day of fiscal year 2014. The time-based restricted stock awards will vest on the last day of the Company's 2017 fiscal year if continued employment conditions are met. Stock options are valued using a Black-Scholes calculation, and vest in three equal annual installments beginning on the last day of fiscal 2015.

        The above summaries of the Chase Corporation Annual Incentive Plan and the Chase Corporation Long Term Incentive Plan are qualified in their entirety by the copies of such plans filed as exhibits to this Annual Report on Form 10-K and incorporated herein by this reference.

69

PART III

ITEM 10—DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE

        The information required by Item 10 of Form 10-K, relating to Directors of the Company, compliance with the reporting obligations under Section 16(a) of the Exchange Act, the Company's code of ethics applicable to senior management, procedures for shareholder nominations to the Company's Board of Directors, and the Company's Audit Committee is incorporated by reference from the information contained in the Definitive Proxy Statement for the Annual Meeting of Stockholders, which is expected to be filed within 120 days after the Company's fiscal year ended August 31, 2014. Information regarding the Company's executive officers found in the section captioned "Executive Officers of the Registrant" in Item 4A of Part I hereof is also incorporated by reference into this Item 10.

ITEM 11—EXECUTIVE COMPENSATION

        The information required by Item 11 of Form 10-K, relating to executive and director compensation and certain matters relating to the Company's Compensation and Management Development Committee, is incorporated by reference from the information contained in the Definitive Proxy Statement for the Annual Meeting of Stockholders, which is expected to be filed within 120 days after the Company's fiscal year ended August 31, 2014.

ITEM 12—SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS

        The information required by Item 12 of Form 10-K, relating to the stock ownership of certain beneficial owners and management, is incorporated by reference from the information contained in the Definitive Proxy Statement for the Annual Meeting of Stockholders, which is expected to be filed within 120 days after the Company's fiscal year ended August 31, 2014.

        The following table summarizes the Company's equity compensation plans as of August 31, 2014. Further details on the Company's equity compensation plans are discussed in the notes to the consolidated financial statements. The adoption of each of the Company's equity compensation plans was approved by its shareholders.

	Number of shares of Chase common stock to be issued upon the exercise of outstanding options		Weighted average exercise price of outstanding options		Number of shares of Chase common stock remaining available for future issuance
2001 Senior Management Stock Plan		254,136	$	15.26		—
2005 Equity Incentive Plan		209,765		15.64		67,007
2013 Equity Incentive Plan		—		—		1,200,000
Total		463,901	$	15.43		1,267,007

ITEM 13—CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE

        The information required by Item 13 of Form 10-K, relating to transactions with related persons and the independence of members of the Company's Board of Directors, is incorporated by reference from the information contained in the Definitive Proxy Statement for the Annual Meeting of Stockholders, which is expected to be filed within 120 days after the Company's fiscal year ended August 31, 2014.

ITEM 14—PRINCIPAL ACCOUNTANT FEES AND SERVICES

        The information required by Item 14 of Form 10-K, relating to fees paid to the Company's independent registered public accounting firm and pre-approval policies of the Company's Audit Committee, is incorporated by reference from the information contained in the Definitive Proxy Statement for the Annual Meeting of Stockholders, which is expected to be filed within 120 days after the Company's fiscal year ended August 31, 2014.

70

PART IV

ITEM 15—EXHIBITS AND FINANCIAL STATEMENT SCHEDULES

(a)(1) and (2) Financial Statements and Schedules:

        The financial statements are set forth under Item 8 of this Annual Report on Form 10-K. Financial statement schedules have been omitted since they are either not required, not applicable, or the information is otherwise included.

(a)(3)    Exhibit Index:

Exhibit Number		Description
	3.1.1	Articles of Organization of Chase Corporation (incorporated by reference from Exhibit 3.1 to the Company's Annual Report on Form 10-K for the fiscal year ended August 31, 2004, filed on November 24, 2004 (the "2004 Form 10-K")).
	3.1.2	Articles of Amendment to Articles of Organization of Chase Corporation (incorporated by reference from Exhibit 3.1 to the Company's Quarterly Report on Form 10-Q for the fiscal quarter ended February 29, 2008, filed on April 9, 2008).
	3.2	By-Laws (incorporated by reference from Exhibit 3.2 to the Company's 2004 Form 10-K).
	10.1	Amended and Restated Stock Agreement dated as of August 31, 2004, between the Company and Peter R. Chase (incorporated by reference to Exhibit 10 to the Company's current report on Form 8-K filed on September 2, 2004).*
	10.2	Chase Corporation Employee's Supplemental Pension Plan effective January 1, 2008 (incorporated by reference from Exhibit 10.1 to the Company's Quarterly Report on Form 10-Q for the quarter ended May 31, 2008, filed on July 10, 2008).*
	10.3	Chase Corporation Employee's Supplemental Savings Plan effective January 1, 2008 (incorporated by reference from Exhibit 10.2 to the Company's Quarterly Report on Form 10-Q for the quarter ended May 31, 2008, filed on July 10, 2008).*
	10.4	Chase Corporation Non-Qualified Retirement Savings Plan for the Board of Directors, amended and restated effective January 1, 2009 (incorporated by reference from Exhibit 10.1 to the Company's Quarterly Report on Form 10-Q for the quarter ended February 28, 2009, filed on April 9, 2009).*
	10.5.1	Severance Agreement between the Company and Peter R. Chase dated July 10, 2006 (incorporated by reference from Exhibit 10.1 to the Company's Quarterly Report on Form 10-Q for the quarter ended May 31, 2006, filed on July 17, 2006).*
	10.5.2	Severance Agreement between the Company and Adam P. Chase dated October 1, 2008 (incorporated by reference from Exhibit 10.6.3 to the Company's Annual Report on Form 10-K for the fiscal year ended August 31, 2009, filed on November 13, 2009 (the "2009 Form 10-K").*
	10.5.3	Severance Agreement between the Company and Kenneth L. Dumas dated July 10, 2006 (incorporated by reference from Exhibit 10.3 to the Company's Quarterly Report on Form 10-Q for the quarter ended February 28, 2007, filed on April 16, 2007).*
	10.5.4	Offer letter dated August 19, 2014 by and between Chase Corporation and Kenneth J. Feroldi.*
	10.6.1	Chase Corporation 2001 Senior Management Stock Plan (incorporated by reference from Exhibit 10.44 to the Company's 2004 Form 10-K).*
	10.6.2	Form of award issued under Chase Corporation 2001 Senior Management Stock Plan (incorporated by reference from Exhibit 10.45 to the Company's 2004 Form 10-K).*
	10.7.1	2005 Equity Incentive Plan of Chase Corporation (incorporated by reference from Exhibit 10.1 to the Company's current report on Form 8-K filed on February 9, 2006).*

71

Exhibit Number		Description
	10.7.2	Form of restricted stock unit award issued under the Chase Corporation 2005 Incentive Plan for non-executive members of the Board of Directors (incorporated by reference from Exhibit 10.4 to the Company's Quarterly Report on Form 10-Q for the period ended February 28, 2007, filed on April 16, 2007).*
	10.7.3	Form of restricted stock unit award issued under the Chase Corporation 2005 Incentive Plan for members of Executive Management (incorporated by reference from Exhibit 10.5 to the Company's Quarterly Report on Form 10-Q for the period ended February 28, 2007, filed on April 16, 2007).*
	10.7.4	Form of restricted stock agreement issued under the Chase Corporation 2005 Incentive Plan for non-executive members of the Board of Directors (incorporated by reference from Exhibit 10.3 to the Company's Quarterly Report on Form 10-Q for the period ended February 29, 2008, filed on April 9, 2008).*
	10.7.5	Form of restricted stock agreement issued under the Chase Corporation 2005 Incentive Plan for members of Executive Management (incorporated by reference from Exhibit 10.1 to the Company's Quarterly Report on Form 10-Q for the period ended November 30, 2007, filed on January 9, 2008).*
	10.7.6	Form of stock option award issued under the Chase Corporation 2005 Incentive Plan (incorporated by reference from Exhibit 10.11.6 to the Company's 2009 Form 10-K).*
	10.8	2013 Equity Incentive Plan of Chase Corporation (incorporated by reference from Exhibit A to the Company's 2012 Proxy Statement filed on December 21, 2013).*
	10.9.1	Split Dollar Agreement between Chase Corporation and Peter R. Chase dated January 10, 2005 (incorporated by reference from Exhibit 10.2 to the Company's current report on Form 8-K filed on January 14, 2005).*
	10.9.2	Split Dollar Endorsement dated January 10, 2005 (incorporated by reference from Exhibit 10.3 to the Company's current report on Form 8-K filed on January 14, 2005).*
	10.10.1	FY 2014 Chase Corporation Annual Incentive Plan (incorporated by reference from Exhibit 99.1 to the Company's current report on Form 8-K filed on October 11, 2013).*
	10.10.2	FY 2014 Chase Corporation Long Term Incentive Plan (incorporated by reference from Exhibit 99.2 to the Company's current report on Form 8-K filed on October 11, 2013).*
	10.10.3	FY 2015 Chase Corporation Annual Incentive Plan.*
	10.10.4	FY 2014 Chase Corporation Long Term Incentive Plan.*
	10.11.1	Endorsement Split-Dollar Agreement among the Company, Edward L. Chase, and Sarah Chase as trustee of the ELC Irrevocable Life Insurance Trust (incorporated by reference from Exhibit 10.25 to the Company's Annual Report on Form 10-K for the fiscal year ended August 31, 1998, filed on November 27, 1998).
	10.11.2	Amendment to Endorsement Split-Dollar Agreement between the Company and Sarah Chase as trustee of the ELC Irrevocable Life Insurance Trust (incorporated by reference from Exhibit 10.2 to the Company's Quarterly Report on Form 10-Q for the period ended February 28, 2009, filed on April 9, 2009).
	10.12	Asset Purchase Agreement dated December 18, 2009 between Chase Corporation and Grace Construction Products Limited (incorporated by reference from Exhibit 10.1 to the Company's Quarterly Report on Form 10-Q for the quarter ended February 28, 2010, filed on April 9, 2010).
	10.13.1	Credit Agreement dated as of June 27, 2012 by and among Chase Corporation, NEPTCO Incorporated, Bank of America, N.A. and the Guarantors and Lenders party thereto (incorporated by reference from Exhibit 10.1 to the Company's current report on Form 8-K filed July 3, 2012).

72

Exhibit Number		Description
	10.13.2	First Amendment dated November 14, 2012 to Credit Agreement dated June 27, 2012 by and among Chase Corporation, NEPTCO Incorporated, Bank of America, N.A. and the Guarantors and Lenders party thereto (incorporated by reference from Exhibit 10.1 to the Company's Quarterly Report on Form 10-Q for the quarter ended November 30, 2012, filed on January 9, 2013).
	21	Subsidiaries of the Registrant
	23.1	Consent of Independent Registered Public Accounting Firm—PricewaterhouseCoopers LLP
	31.1	Certification of principal executive officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
	31.2	Certification of principal financial officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
	32.1	Certification of principal executive officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
	32.2	Certification of principal financial officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
	101.INS	XBRL Instance Document
	101.SCH	XBRL Taxonomy Extension Schema Document
	101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document
	101.LAB	XBRL Taxonomy Extension Label Linkbase Document
	101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document
	101.DEF	XBRL Taxonomy Extension Definition Linkbase Document

*

Identifies management plan or compensatory plan or arrangement.

(b)

See (a)(3) above.

(c)

None.

73

SIGNATURES

        Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

Chase Corporation
By:	/s/ PETER R. CHASE Peter R. Chase, Chairman and Chief Executive Officer November 14, 2014
By:	/s/ KENNETH J. FEROLDI Kenneth J. Feroldi Treasurer and Chief Financial Officer November 14, 2014

        Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

Signature	Title	Date
/s/ PETER R. CHASE Peter R. Chase	Chairman and Chief Executive Officer (Principal executive officer)	November 14, 2014
/s/ KENNETH J. FEROLDI Kenneth J. Feroldi	Treasurer and Chief Financial Officer (Principal financial officer and principal accounting officer)	November 14, 2014
/s/ ADAM P. CHASE Adam P. Chase	Director, President & Chief Operating Officer	November 14, 2014
/s/ MARY CLAIRE CHASE Mary Claire Chase	Director	November 14, 2014
/s/ LEWIS P. GACK Lewis P. Gack	Director	November 14, 2014
/s/ GEORGE M. HUGHES George M. Hughes	Director	November 14, 2014
/s/ RONALD LEVY Ronald Levy	Director	November 14, 2014
/s/ THOMAS WROE, JR. Thomas Wroe, Jr	Director	November 14, 2014

74

EX-10.5.4

Exhibit 10.5.4

A Leading Manufacturer of Protective
Materials for High Reliability Applications Executive Offices
Bethany House
26 Summer Street
Bridgewater, MA 02324

Phone: (508) 819-4200 Fax:     (508) 697-6419 www.chasecorp.com

August 19, 2014

Mr. Kenneth Feroldi

67 Kimberley Drive

Wakefield, RI 02878

Dear Ken:

It is with great pleasure that we extend to you an offer of employment with Chase Corporation as the Chief Financial Officer (CFO) with an effective start date of September 1, 2014.

The CFO is an exempt (salaried) position reporting to Peter Chase, CEO and Chairman. Your starting salary will be $220,000 annually, $8,461.54 per bi-weekly pay period, (subject to applicable withholdings and deductions).

Additionally, you will be eligible for an annual cash incentive that will allow you to earn a portion of your total compensation based on performance. This position has a nominal opportunity of 30% of base salary if targets are achieved. The Target for fiscal year 2015 is budgeted EBITDA. Actual payout maybe adjusted at management’s discretion based on individual performance. Incentive bonuses are paid after the end of the fiscal year usually in November. You will be able to participate in the plan for this fiscal year (ending August 31, 2015) based on actual salary paid during the year.

There will also be a long-term incentive opportunity as discussed. The normal plan will offer a targeted value of 45% of your base salary. For you this will be comprised of two parts – 30% will be in the form of performance shares whose value may increase or decrease based on the year’s performance results and will vest after 3 years; 15% will be in the form of straight restricted stock that will vest after 3 years. For the initial year only, the 15% restricted portion will vest in September of 2014 as soon as can be approved and processed.

Your performance and base salary will be reviewed in March of 2015 at which time your salary will increase to $235,000. You will then be reviewed again in September of 2015 at which time your salary is expected to increase to $250,000. Your salary and performance will be reviewed on an annual basis thereafter starting in September of 2016.

Your current medical and dental benefits will remain the same, however, you will be eligible to contribute to the Chase Corporation 401K plan and recognize the Safe Harbor Match. Additionally you will be eligible for the Executive Non-Qualified Deferred Savings plan, (details to be outlined under separate cover) and the Executive Life Insurance Option at three times your annual salary. As part of your benefits package you will also receive an auto allowance of $1,000 per month, (subject to applicable withholdings), that will be paid out on the first pay period of each month as well as an annual Executive Financial Planning Reimbursement of $5,000.

You will also be eligible for severance in the event of a change in control in similar form as the current CFO.

This offer is not a contract and supersedes any previous offer or representation. Your employment with Chase Corporation will be “at will”.

We look forward to you joining the team and undertaking the challenge of becoming the Chief Financial Officer and supporting the growing Chase Corporation businesses.

Please indicate your acceptance of this offer by signing below.

Yours truly,

/s/ Lisa R. Sparling

Lisa R. Sparling

Human Resources Manager

Accepted: /s/ Kenneth J. Feroldi Date: August 26, 2014

EX-10.10.3

Exhibit 10.10.3

CHASE CORPORATION

ANNUAL INCENTIVE PLAN

Fiscal Year 2015

The Company, in addition to salary and benefits provides further cash compensation to key employees based on achieving preset annual goals.

The plan is maintained and paid at the sole discretion of the Board of Directors and may be modified or suspended at any time by the board.

Upon approval by the Board of Directors, the CFO will administer the plan.

It is the intent of the Board of Directors to exclude the effect of unusual events and expenses from the calculation.  The Compensation and Management Development Committee is given the authority by the Board to use its discretion in determining relevant exclusions.

Targets, awards, opportunities and associated performance award methodology and eligibility requirements will be established by the Compensation and Management Development Committee for the Chief Executive Officer, Chief Operating Officer and Chief Financial Officer and approved by the Board of Directors.  For senior management, the CEO will make recommendations to be approved by the Compensation and Management Development Committee.  For all other employees the CEO will be the approval authority.  See schedule below for award opportunities for the executive officers:

Budgeted EBITDA is the target.  Payment threshold is 90% which yields 50% of individual award opportunity.  From 90% to 100% performance — award increases proportionately between 50% and 100%.  Between 100% and 120% of target award is proportionate between 100% and 200%.

Actual v. Target	Award Earned
90%	50%
95%	75%
100%	100%
105%	125%
110%	150%
115%	175%
120%	200%

In order for any amounts to be payable under this Annual Incentive Plan, actual results must meet a threshold level of 90% of the target.  There is a cap on the incentive payments of 200% achieved at 120% of target.

Payment is made in cash no later than 75 days from the close of the fiscal year.

Award Opportunity

Chief Executive Officer	150% of base salary for 100% achievement of target. At 90% of target award is 75% of base salary. For results in excess of target, award increases to 300% of base salary at 120% of target.
Chief Operating Officer	50% of base salary for 100% achievement of target. At 90% of target award is 25% of base salary. For results in excess of target, award increases to 100% of base salary at 120% of target.
Chief Financial Officer	30% of base salary for 100% achievement of target. At 90% of target award is 15% of base salary. For results in excess of target, award increases to 60% of base salary at 120% of target.

In addition to the financial targets the Compensation and Management Development Committee may choose to establish qualitative measurement criteria.  Together with the financial measures these are referred to as critical success factors (CSF).  When utilized, the CEO’s CSF and appropriate weighting is approved by the board.  The CEO will approve all others.

Other management and non-union bonus participants will have opportunities established by the CEO.

To be eligible an employee must be on the active payroll when the bonus is paid and for at least 6 months prior to the end of the fiscal year

EX-10.10.4

Exhibit 10.10.4

CHASE CORPORATION

Long Term Incentive Plan

Award Design and Grant Process

Fiscal Year Ending August 31, 2015

Key Provisions

1.There are three reward vehicles:  1) Performance-based restricted stock, 2) Time-vested restricted stock and 3) Stock Options.  At least two will be used each year.  For the Chief Operating Officer, FY 2015 performance shares will be 50%, time-vested restricted stock will be 25% and stock options will be 25%. For the Chief Financial Officer, FY 2015 performance shares will be 67%, and time-vested restricted stock will be 33%.

2.Time-vested restricted stock is fixed and not subject to performance measures and will vest at the end of the third fiscal year after the grant date (August 31, 2017), subject to grant date, pricing, and termination provisions listed below.

3.Stock options will be fixed based on a Black-Scholes calculation, and will vest in three equal annual allotments beginning on August 31, 2015, and be exercisable for 10 years.

4.Performance shares will be in the form of restricted stock subject to performance and other criteria as follows.

·Performance measures:  Target is earnings per share (EPS) based on current year’s budget determined by dividing net income by the number of diluted shares outstanding at August 31, 2014 (end of most recent fiscal year). Actual is net income for the measurement period divided by the same number of diluted shares used in the Target.

·Performance measurement period:  September 1, 2014 through August 31, 2015

·Vesting:  2 years after performance measurement period (August 31, 2017)

·Grant date:  first day of measurement period

·Stock price for award:  closing price for last trading day prior to grant date

·Threshold:  the point at which an award is earned (90% of target).  Between threshold and target the award increases on a linear basis.

·Stretch area:  performance in excess of target awarded at a higher rate (200% for 120% achievement) with a cap of 200%.  Between target and cap award increases on a linear basis.

Example:

·Individual opportunity is $50,000 at target; performance share opportunity (50%) is $25,000 at target

·Stock price (8/31/2014) is $25.00

·Threshold is 90% of target

Performance	Payout % of Target		Vesting Shares	Reward Value
Threshold 90%	50	%	500	$	12,500
Target	100	%	1,000	$	25,000
Stretch at 120%	200	%	2,000	$	50,000

Plan metrics:  standard performance measures are 90% threshold, 100% target and 120% maximum.

Standard award measures are 50% at threshold, 100% at target and 200% at maximum.

5.Termination provisions:

Termination Event	Year	Payment in Shares
Retirement	Pro-rated	Paid as scheduled
Voluntary	All shares forfeit	No payment
Without cause	Pro-rated	Paid as scheduled
With cause	All shares forfeit	No payment
Upon change of control	Acceleration at target	Paid at change of control
Death or disability	Pro-rated	Paid as scheduled

6.Eligibility:  key executives and others

Participant	Target % of Base Salary
President & Chief Operating Officer	100	%
Chief Financial Officer	45	%(A)

(A) See “Offer letter dated August 19, 2014 by and between Chase Corporation and Kenneth J. Feroldi”

Award opportunities are set annually and the plan is subject to the approval of the Compensation and Management Development (C&MD) Committee and may be modified from time to time.

FY 2015 SCHEDULE

·Q4 FY14Board approves continuance of plan and sets grant date

·Q4 FY14Goals and awards proposed by management for FY15

·Q4 FY14C&MD Committee reviews and approves FY15 plan

·Q1 FY15Management presents FY14 plan achievement

·Q1 FY15C&MD Committee approves FY14 results

·Q1 FY16Management presents assessment of FY15 goal achievement

·Q1 FY16C&MD Committee approves FY15 results

·Q4 FY17Vested FY15 shares are released to participant

2

EX-21

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Exhibit 21

SUBSIDIARIES OF THE REGISTRANT

        Subsidiaries and joint ventures of Chase Corporation as of August 31, 2014 are as follows:

Name	Jurisdiction of Incorporation
C.I.M. Industries, Inc.	New Hampshire
Capital Services of New York, Inc.	New York
Chase & Sons Limited	United Kingdom
HumiSeal Europe SARL	France
HumiSeal Europe Limited	United Kingdom
Chase Protective Coatings Limited	United Kingdom
NEPTCO Holdings, Inc.	Delaware
NEPTCO Incorporated	Rhode Island
NEPTCO (Suzhou) Materials Co., Ltd.	People's Republic of China
NEPTCO JV LLC (50% Owned)	Delaware

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Exhibit 21

SUBSIDIARIES OF THE REGISTRANT

EX-23.1

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Exhibit 23.1

CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

        We hereby consent to the incorporation by reference in the Registration Statements on Form S-8 (Nos. 333-189961, 333-131929 and 333-100101) of Chase Corporation of our report dated November 14, 2014 relating to the financial statements and the effectiveness of internal control over financial reporting, which appears in this Form 10-K.

/s/ PricewaterhouseCoopers LLP

PricewaterhouseCoopers LLP
Boston, Massachusetts
November 14, 2014

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Exhibit 23.1

CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

EX-31.1

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Exhibit 31.1

CERTIFICATION

I, Peter R. Chase, certify that:

1.

I have reviewed this Annual Report on Form 10-K of Chase Corporation;



2.

Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;



3.

Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;



4.

The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have;



a)

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;



b)

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;



c)

Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures as of the end of the period covered by this report based on such evaluation;



d)

Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and



5.

The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):



a)

All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and



b)

Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal controls over financial reporting.

Date: November 14, 2014

/s/ PETER R. CHASE
Peter R. Chase
Chairman and Chief Executive Officer
(Principal Executive Officer)

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Exhibit 31.1

CERTIFICATION

EX-31.2

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Exhibit 31.2

CERTIFICATION

I, Kenneth J. Feroldi, certify that:

1.

I have reviewed this Annual Report on Form 10-K of Chase Corporation;



2.

Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;



3.

Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;



4.

The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have;



a)

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;



b)

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;



c)

Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures as of the end of the period covered by this report based on such evaluation;



d)

Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and



5.

The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):



a)

All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and



b)

Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal controls over financial reporting.

Date: November 14, 2014

/s/ KENNETH J. FEROLDI
Kenneth J. Feroldi
Treasurer and Chief Financial Officer
(Principal Financial and Accounting Officer)

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Exhibit 31.2

CERTIFICATION

EX-32.1

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Exhibit 32.1

CERTIFICATION
PURSUANT TO
18 U.S.C. 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

        The undersigned officer of Chase Corporation (the "Company") hereby certifies that the Company's Annual Report on Form 10-K for the year ended August 31, 2014 (the "Report"), as filed with the Securities and Exchange Commission on the date hereof, fully complies with the requirements of Section 13(a) or 15(d), as applicable, of the Securities Exchange Act of 1934, as amended, and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. This certificate is furnished solely pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

Date: November 14, 2014

/s/ PETER R. CHASE
Peter R. Chase
Chairman and Chief Executive Officer
(Principal Executive Officer)

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Exhibit 32.1

EX-32.2

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Exhibit 32.2

CERTIFICATION
PURSUANT TO
18 U.S.C. 1350,
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

        The undersigned officer of Chase Corporation (the "Company") hereby certifies that the Company's Annual Report on Form 10-K for the year ended August 31, 2014 (the "Report"), as filed with the Securities and Exchange Commission on the date hereof, fully complies with the requirements of Section 13(a) or 15(d), as applicable, of the Securities Exchange Act of 1934, as amended, and that the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. This certificate is furnished solely pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

Date: November 14, 2014

/s/ KENNETH J. FEROLDI
Kenneth J. Feroldi
Treasurer and Chief Financial Officer
(Principal Financial and Accounting Officer)

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Exhibit 32.2

CERTIFICATION PURSUANT TO 18 U.S.C. 1350, AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

XML

Long-Term Debt (Tables)

12 Months Ended

Aug. 31, 2014

Long-Term Debt.

Schedule of long-term debt

	2014			2013
Term note payable to bank in 19 quarterly installments that began in September 2012. The principal amount of the quarterly installments is $1,400 through June 2014, increased to $1,750 per quarter thereafter through June 2015, and will increase to $2,100 per quarter thereafter through March 2017. Interest is payable monthly at LIBOR rate plus 175 to 225 basis points, based upon the Company's consolidated leverage ratios (effective interest rate of 1.91% at August 31, 2014). Quarterly principal payments will continue through March 2017, and Chase will repay the remaining principal balance plus any interest due on the term note maturity date of June 27, 2017.	$	58,800		$	64,400
		58,800			64,400
Less portion payable within one year classified as current		(7,000	)		(5,600	)
Long-term debt, less current portion	$	51,800		$	58,800

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Summary of Significant Accounting Policies (Details ) (USD $)	0 Months Ended	12 Months Ended			0 Months Ended	1 Months Ended
	Oct. 23, 2013	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012	Oct. 23, 2014 Subsequent event	Jun. 30, 2012 NEPTCO	Oct. 31, 2014 NEPTCO Subsequent event
Basis of Presentation
Minimum percentage of ownership interest in investments in unconsolidated entities under the equity method		20.00%
Percentage of ownership stake acquired						50.00%	50.00%
Percentage of net assets and net loss of the JV recorded within the Company's consolidated financial statements						50.00%
Percentage of ownership stake and pro rata share in net result of the JV						50.00%
Cash dividends declared per share (in dollars per share)	$ 0.60	$ 0.45	$ 0.40	$ 0.35	$ 0.60

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Fair Value Measurements (Tables)

12 Months Ended

Aug. 31, 2014

Fair Value Measurements

Schedule of financial assets that were accounted for at fair value on a recurring basis

					Fair value measurement category
	Fair value measurement date		Total		Quoted prices in active markets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)
Assets:
Restricted investments		August 31, 2014	$	1,256	$	1,216	$	40	$	—
Restricted investments		August 31, 2013	$	1,094	$	1,094	$	—	$	—

Schedule of fair values of the Company's long-term debt

					Fair value measurement category
	Fair value measurement date		Total		Quoted prices in active markets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)
Liabilities:
Long-term debt		August 31, 2014	$	58,800	$	—	$	58,800	$	—
Long-term debt		August 31, 2013	$	64,400	$	—	$	64,400	$	—

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Benefits and Pension Plans (Details 3) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Weighted-average assumptions used to determine benefit obligations
Rate of compensation increase (as a percent)	3.50%	3.50%	3.50%
Weighted-average assumptions used to determine net periodic benefit cost
Rate of compensation increase (as a percent)	3.50%	3.50%	3.50%
Reduction in discount rate used to estimate additional net periodic pension cost (as a percent)	1.00%
Reduction in expected return on plan assets used to estimate the increase in net periodic pension cost (as a percent)	1.00%
Qualified Plan
Weighted-average assumptions used to determine benefit obligations
Discount rate (as a percent)	3.83%	4.54%	3.40%
Weighted-average assumptions used to determine net periodic benefit cost
Discount rate (as a percent)	4.54%	3.40%	4.73%
Expected long term return on plan assets (as a percent)	8.00%	8.00%	8.00%
Additional net periodic pension cost from each 100 basis point reduction in the discount rate	$ 81
Additional net periodic pension cost from each 100 basis point reduction in the expected return on plan assets	76
Supplemental plan
Weighted-average assumptions used to determine benefit obligations
Discount rate (as a percent)	3.01%	3.76%	3.14%
Weighted-average assumptions used to determine net periodic benefit cost
Discount rate (as a percent)	3.76%	3.14%	3.00%
Expected long term return on plan assets (as a percent)	0.00%	0.00%	0.00%
Additional net periodic pension cost from each 100 basis point reduction in the discount rate	$ 3
Neptco plan
Weighted-average assumptions used to determine benefit obligations
Discount rate (as a percent)	4.06%	4.63%	3.77%
Rate of compensation increase (as a percent)	0.00%	0.00%	0.00%
Weighted-average assumptions used to determine net periodic benefit cost
Discount rate (as a percent)	4.63%	3.77%	4.08%
Expected long term return on plan assets (as a percent)	8.00%	8.00%	8.00%
Rate of compensation increase (as a percent)	0.00%	0.00%	0.00%

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Summary of Significant Accounting Policies (Details 2) (USD $) In Thousands, unless otherwise specified	12 Months Ended				12 Months Ended				12 Months Ended				3 Months Ended		6 Months Ended	9 Months Ended
	Aug. 31, 2014 item	Aug. 31, 2013	Aug. 31, 2012	Jun. 27, 2012 NEPTCO	Aug. 31, 2014 Adjustment for immaterial error correction	May 31, 2013 Adjustment for immaterial error correction	Feb. 28, 2013 Adjustment for immaterial error correction	Nov. 30, 2012 Adjustment for immaterial error correction	Aug. 31, 2014 Adjustment for immaterial error correction Previously reported	May 31, 2013 Adjustment for immaterial error correction Previously reported	Feb. 28, 2013 Adjustment for immaterial error correction Previously reported	Nov. 30, 2012 Adjustment for immaterial error correction Previously reported	Feb. 28, 2013 Adjustment for immaterial error correction Adjustment	Nov. 30, 2012 Adjustment for immaterial error correction Adjustment	Feb. 28, 2013 Adjustment for immaterial error correction Adjustment	May 31, 2013 Adjustment for immaterial error correction Adjustment	Aug. 31, 2012 Adjustment for immaterial error correction Adjustment NEPTCO
Summary of Significant Accounting Policies
Number of line items of statement of cash flows identified as containing immaterial error	2
Summary of Significant Accounting Policies
Pension curtailment and settlement loss	$ 348	$ 1,223	$ 550		$ 550				$ (550)
Accrued compensation and other expenses	1,351	(791)	(174)		(174)				926
LIABILITIES AND EQUITY
Accumulated pension obligation	10,418	7,834	7,702			6,420	6,814	7,180		7,618	8,012	7,508
Accrued income taxes	1,377	2,161				1,471	424	1,573		1,058	11	1,460
Accumulated other comprehensive loss	(4,250)	(5,163)	(5,030)			(5,033)	(5,131)	(4,353)		(5,818)	(5,916)	(4,567)
Comprehensive Income	27,436	16,607	7,900										571	214	785	785
Non current deferred tax liabilities	7,580	9,467															1,655
Current deferred tax assets	2,315	2,115															647
Goodwill	$ 38,280	$ 37,815	$ 37,785	$ 19,668													$ 1,008

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Supplemental Cash Flow Data (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Supplemental Cash Flow Data
Income taxes paid	$ 15,084	$ 9,913	$ 5,561
Interest paid	1,224	1,545	352
Non-cash Investing and Financing Activities
Common stock received for payment of stock option exercises	1,550	488
Property, plant & equipment additions included in accounts payable	91	112	117
NEPTCO
Acquisition of certain assets
Current assets (excluding cash)			24,948
Property and equipment			18,657
Goodwill			19,668
Intangible assets			23,165
Accounts payable and accrued liabilities			(10,841)
Long term liabilities			(736)
Deferred tax liabilities			(11,051)
Minority interest of joint venture partner			(1,593)
Cash provided through operating cash and increase in debt			(62,217)
Insulfab product line
Sale of business
Current assets (excluding cash)	(3,153)
Property and equipment	(1,062)
Accounts payable and accrued liabilities	3
Gain on sale of business	(5,706)
Cash received from sale of business, net of transaction costs	$ 9,918

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Acquisitions (Tables)

12 Months Ended

Aug. 31, 2014

Acquisitions

Schedule of acquisition cost has been allocated to the acquired tangible and identifiable intangible assets and liabilities assumed based on their fair values

Assets & Liabilities	Amount
Current assets (net of cash acquired)	$	24,948
Property, plant & equipment		18,657
Goodwill		19,668
Intangible assets		23,165
Accounts payable and accrued liabilities		(10,841	)
Long term liabilities		(736	)
Deferred tax liabilities		(11,051	)
Non-controlling interest of joint venture partner		(1,593	)
Total purchase price	$	62,217

Schedule of identifiable intangible assets purchased as part of business acquisition

Intangible Asset	Amount		Useful life
Customer Relationships	$	15,330	10 years
Trade names		4,988	6 years
Technology		2,267	8 years
Backlog		20	4 months
Prepaid patent costs		560	10 years (1)
Total intangible assets	$	23,165

(1)

To be amortized once placed in service

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Summary of Significant Accounting Policies (Policies)

12 Months Ended

Aug. 31, 2014

Summary of Significant Accounting Policies

Products and Markets

Products and Markets

        The Company's principal products are specialty tapes, laminates, sealants and coatings that are sold by Company salespeople, manufacturers' representatives and distributors. In the Company's Industrial Materials segment, these products consist of:

• (i)

  insulating and conducting materials for the manufacture of electrical and telephone wire and cable, electrical splicing, and terminating and repair tapes, which are marketed to wire and cable manufacturers;
  
  

  (ii)

  laminated film foils, composite strength elements, anti-static packaging tape and pulling tapes for the electronics and cable industries;
  
  

  (iii)

  moisture protective coatings, which are sold to the electronics industry including circuitry used in automobiles and home appliances;
  
  

  (iv)

  laminated durable papers, including laminated paper with an inner security barrier used in personal and mail-stream privacy protection, which are sold primarily to the envelope converting and commercial printing industries;
  
  

  (v)

  pulling and detection tapes used in the installation, measurement and location of fiber optic cables, water and natural gas lines, and power, data and video cables for commercial buildings;
  
  

  (vi)

  cover tapes with reliable adhesive and anti-static properties essential to delivering semiconductor components via tape and reel packaging; and
  
  

  (vii)

  flexible, rigid and semi-rigid fiber optic strength elements designed to allow fiber optic cables to withstand mechanical and environmental strain and stress.

        In the Company's Construction Materials segment, these products consist of:

• (i)

  protective pipe coating tapes and other protectants for valves, regulators, casings, joints, metals, concrete and wood, which are sold to oil companies, gas utilities and pipeline companies;
  
  

  (ii)

  protectants for highway bridge deck metal supported surfaces, which are sold to municipal transportation authorities;
  
  

  (iii)

  fluid applied coating and lining systems for use in the water and wastewater industry; and
  
  

  (iv)

  expansion and control joint systems designed for roads, bridges, stadiums and airport runways.

Basis of Presentation

Basis of Presentation

        The financial statements include the accounts of the Company and its wholly-owned subsidiaries. Investments in unconsolidated companies which are at least 20% owned are carried under the equity method since acquisition or investment. All intercompany transactions and balances have been eliminated in consolidation. The Company uses the U.S. dollar as the functional currency for financial reporting.

        As part of the Company's purchase of NEPTCO in June 2012, it also acquired NEPTCO's 50% ownership stake in its financially- controlled joint venture, NEPTCO JV LLC ("JV"). Given the Company's controlling financial interest, the JV's assets and liabilities as of August 31, 2014 and 2013, and the results of operations beginning June 27, 2012, have been consolidated within the Company's consolidated balance sheet and the related consolidated statements of operations and cash flows. An offsetting amount equal to 50% of net assets and net loss of the JV has also been recorded within the Company's consolidated financial statements to non-controlling interest, representing the joint venture partner's 50% ownership stake and pro rata share in net results of the JV.

        The Company has evaluated events and transactions subsequent to the balance sheet date. Based on this evaluation, and other than the October 2014 purchase of the 50% non-controlling membership interest in NEPTCO JV LLC described in Note 14, and the cash dividend announced on October 23, 2014 of $0.60 per share to shareholders of record on November 3, 2014 payable on December 4, 2014, the Company is not aware of any other events or transactions that occurred subsequent to the balance sheet date, but prior to filing, that would require recognition or disclosure in its consolidated financial statements.

Use of Estimates

Use of Estimates

        The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents

Cash and Cash Equivalents

        Cash and cash equivalents consist primarily of demand deposits accounts or investment instruments that meet high credit quality standards such as money market funds, government securities, or commercial paper. The Company considers all highly liquid debt instruments purchased with a maturity of three months or less from date of purchase to be cash equivalents.

Accounts Receivable

Accounts Receivable

        The Company evaluates the collectability of accounts receivable balances based on a combination of factors. In cases where the Company is aware of circumstances that may impair a specific customer's ability to meet its financial obligations to it, a specific allowance against amounts due to the Company is recorded, and thereby reduces the net recognized receivable to the amount the Company reasonably believes will be collected. For all other customers, the Company recognizes allowances for doubtful accounts based on the length of time the receivables are past due, industry and geographic concentrations, the current business environment and its historical experience. Receivables are written off against these reserves in the period they are determined to be uncollectible.

Inventories

Inventories

        The Company values inventory at the lower of cost or market using the first-in, first-out (FIFO) method. Management assesses the recoverability of inventory based on types and levels of inventory held, forecasted demand and changes in technology. These assessments require management judgments and estimates, and valuation adjustments for excess and obsolete inventory may be recorded based on these assessments. The Company estimates excess and obsolescence exposures based upon assumptions about future demand, product transitions, and market conditions and records reserves to reduce inventories to their estimated net realizable value. The failure to accurately forecast demand may lead to additional excess and obsolete inventory and future charges.

Goodwill

Goodwill

        The Company accounts for goodwill in accordance with ASC Topic 350, "Intangibles—Goodwill and Other." The Company identified several reporting units within each of its two operating segments. These are used to evaluate the possible impairment of goodwill annually each fourth quarter and whenever events or circumstances indicate the carrying value of goodwill may not be recoverable. When evaluating the potential impairment of goodwill, the Company will first assess a range of qualitative factors, including but not limited to, industry conditions, the competitive environment, changes in the market for our products and services, entity specific factors such as strategy and changes in key personnel, and the overall financial performance for each of our reporting units relative to expected historical or projected future operating results. If after completing this assessment, it is determined that it is more likely than not that the fair value of a reporting unit is less than its carrying value, the Company will then proceed to a two-step impairment testing methodology using the income approach (discounted cash flow method).

        In the first step of this testing methodology, we compare the carrying value of the reporting unit, including goodwill, with its fair value, as determined by its estimated discounted cash flows. If the carrying value of a reporting unit exceeds its fair value, we then complete the second step of the impairment test to determine the amount of impairment to be recognized. In the second step, we estimate an implied fair value of the reporting unit's goodwill by allocating the fair value of the reporting unit to all of the assets and liabilities other than goodwill (including intangible assets). If the carrying value of a reporting unit's goodwill exceeds its implied fair value, we record an impairment loss equal to the difference in that period. The key assumptions incorporated in the discounted cash flow approach include projected operating income, changes in working capital, projected capital expenditures, estimated terminal sales value and a discount rate equal to the assumed long-term cost of capital. Cash flows may be adjusted to exclude certain non-recurring or unusual items. The cash flow estimates used to determine impairment, if any, contain management's best estimates, using appropriate and customary assumptions and projections at the time.

Intangible Assets

Intangible Assets

        Intangible assets consist of patents, agreements, formulas, trade names, customer relationships and trademarks. The Company capitalizes costs related to patent applications and technology agreements. The costs of these assets are amortized using the straight-line method over the lesser of the useful life of the asset or its statutory life. Capitalized costs are periodically reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable.

Property, Plant and Equipment

Property, Plant and Equipment

        Property, plant and equipment are stated at cost and depreciated using the straight-line method over the assets' estimated useful lives. Expenditures for maintenance repairs and minor renewals are charged to expense as incurred. Betterments and major renewals are capitalized. Upon retirement or other disposition of assets, related allowances for depreciation and amortization are eliminated from the accounts and any resulting gain or loss is included in the determination of income or loss. The estimated useful lives of property, plant and equipment are as follows:

Buildings and improvements	15 to 40 years
Machinery and equipment	3 to 10 years

        Leasehold improvements are depreciated over the lesser of the useful life or the term of the lease.

Restricted Investments and Deferred Compensation

Restricted Investments and Deferred Compensation

        The Company has a non-qualified deferred savings plan that covers its Board of Directors and selected employees. Participants may elect to defer a portion of their compensation for payment in a future tax year. The plan is funded by trusteed assets that are restricted to the payment of deferred compensation or satisfaction of the Company's general creditors. The Company's restricted investments and corresponding deferred compensation liability under the plan were $1,256 and $1,094 at August 31, 2014 and 2013, respectively. The Company accounts for the restricted investments as available for sale by recording unrealized gains or losses in other comprehensive income as a component of stockholders' equity.

Split-Dollar Life Insurance Arrangements

Split-Dollar Life Insurance Arrangements

        The net liability related to these postretirement benefits was calculated as the difference between the present value of future premiums to be paid by the Company reduced by the present value of the expected proceeds to be returned to the Company upon the insured's death. The Company prepared its calculation by using mortality assumptions which are based on the IRS 2014 Combined Static Mortality Table, and a 1.63% discount rate. The Company's net liability related to these postretirement obligations was $54 and $56 at August 31, 2014 and 2013, respectively.

Revenues

Revenues

        The Company recognizes revenue when persuasive evidence of an arrangement exists, performance of its obligation is complete, its price to the buyer is fixed or determinable, and the Company is reasonably assured of collecting. This is typically at the time of shipment or upon receipt by the customer based on contractual terms. If a loss is anticipated on any contract, a provision for the entire loss is made immediately. Revenue recognition involves judgments and assessments of expected returns, and the likelihood of nonpayment by customers. The Company analyzes various factors, including a review of specific customer contracts and shipment terms, historical experience, creditworthiness of customers and current market and economic conditions in determining when to recognize revenue. Changes in judgments on these factors could impact the timing and amount of revenue recognized with a resulting impact on the timing and amount of operating income. Commissions are recognized when earned and payments are received from the manufacturers represented. Royalty revenue is recognized based on licensee production statements received from the authorized manufacturers. Billed shipping and handling fees are recorded as sales revenue with the associated costs recorded as costs of products and services sold.

        The Company's warranty policy provides that the products (or materials) delivered will meet its standard specifications for the products or any other specifications as may be expressly agreed to at time of purchase. All warranty claims must be received within 90 days from the date of delivery, unless some other period has been expressly agreed to within the terms of the sales agreement. The Company's warranty costs have historically been insignificant. The Company records a current liability for estimated warranty claims with a corresponding debit to cost of products and services sold based upon current and historical experience and upon specific claims issues as they arise.

        In addition, the Company offers certain sales incentives based on sales levels as they are earned.

Research and Product Development Costs

Research and Product Development Costs

        Research and product development costs are expensed as incurred and include primarily engineering salaries, overhead and materials used in connection with research and development projects. Research and development expense amounted to $2,599, $3,395 and $2,958 for the years ended August 31, 2014, 2013 and 2012, respectively.

Pension Plan

Pension Plan

        The Company accounts for its pension plans following the requirements of ASC Topic 715, "Compensation—Retirement Benefits" ("ASC 715"). ASC 715 requires an employer to: (a) recognize in its statement of financial position the funded status of a benefit plan; (b) measure defined benefit plan assets and obligations as of the end of the employer's fiscal year (with limited exceptions); and (c) recognize as a component of other comprehensive income, net of tax, the gains or losses and prior service costs or credits that arise but are not recognized as components of net periodic benefit costs pursuant to prior existing guidance.

Stock Based Compensation

Stock Based Compensation

        In accordance with the accounting for stock based compensation guidance, the Company measures and recognizes compensation expense for all share-based payment awards made to employees and directors based on estimated fair values. This includes restricted stock, restricted stock units and stock options. The guidance allows for the continued use of the simplified method as the Company has concluded that its historical share option exercise experience does not provide a reasonable basis for estimating expected term. The Company uses the short cut method to calculate the historical windfall tax pool.

        Stock-based compensation expense recognized in fiscal years 2014, 2013 and 2012 was $1,096, $1,621 and $2,040, respectively.

        The fair value of options granted was estimated on the date of grant using the Black-Scholes option pricing model with the following weighted average assumptions for the years ending August 31, 2014, 2013 and 2012:

	2014	2013	2012
Expected Dividend yield	2.0%	2.2%	2.3%
Expected life	6.0 years	6.0 years	6.0 years
Expected volatility	41.0%	33.0%	30.0%
Risk-free interest rate	2.8%	1.6%	2.2%

        Expected volatility is determined by looking at a combination of historical volatility over the past seven years as well as implied volatility going forward.

Translation of Foreign Currency

Translation of Foreign Currency

        The financial position and results of operations of the Company's HumiSeal Europe Ltd and Chase Protective Coatings Ltd businesses are measured using the UK pound sterling as the functional currency, and the financial position and results of operations of the Company's HumiSeal Europe SARL business in France are measured using euros as the functional currency. Revenues and expenses of these businesses have been translated at average exchange rates. Assets and liabilities have been translated at the year-end exchange rates. Translation gains and losses are being recorded as a separate component of shareholders' equity. Transaction gains and losses generated from the remeasurement of assets and liabilities denominated in currencies other than the functional currency of our foreign operations are included in other income on the consolidated statements of operations.

Income Taxes

Income Taxes

        The Company accounts for income taxes under the asset and liability method. Under this method, a deferred tax asset or liability is determined based upon the differences between the financial statement and tax bases of assets and liabilities as measured by the enacted tax rates that will be in effect when these differences reverse. Tax credits are recorded as a reduction in income taxes. Valuation allowances are provided if, based upon the weight of available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized.

        The Company estimates contingent income tax liabilities based on the guidance for accounting for uncertain tax positions as prescribed in ASC Topic 740, "Income Taxes." See Note 7 for more information on the Company's income taxes.

Net Income Per Share

Net Income Per Share

        The Company has unvested share-based payments awards with a right to receive nonforfeitable dividends, which are considered participating securities under ASC Topic 260, "Earnings Per Share" ("ASC 260"). The Company allocates earnings to participating securities and computes earnings per share using the two class method.

Comprehensive Income

Comprehensive Income

        Comprehensive income is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources, including foreign currency translation adjustments, unrealized gains and losses on marketable securities and adjustments related to the change in the funded status of the pension plans.

Non-controlling Interest

Non-controlling Interest

        A legal entity is subject to the consolidation rules of ASC Topic 810, "Consolidations" ("ASC 810") if the total equity investment at risk is not sufficient to permit the legal entity to finance its activities without additional subordinated financial support or the equity investors lack certain specified characteristics of a controlling financial interest. Based on the criteria in ASC 810, the Company determined that its joint venture agreement qualifies as a variable interest entity ("VIE"). The purpose of the joint venture is to combine the elements of NEPTCO's and the joint venture partner's (an otherwise unrelated party) fiber optic strength element businesses. Under ASC 810, a reporting entity shall consolidate a VIE when that reporting entity has a variable interest (or combination of variable interests) that provides the reporting entity with a controlling financial interest. The reporting entity shall be deemed to have a controlling financial interest in a VIE if it has both of the following characteristics: a) the power to direct the activities of a VIE that most significantly impact the VIE's economic performance; and b) the obligation to absorb losses or right to receive benefits from the VIE that could potentially be significant to the VIE. The reporting entity that consolidates a VIE is called the "primary beneficiary" of that VIE. The Company determined that it is the primary beneficiary of the VIE primarily due to Chase directing the activities that most significantly impact the VIE's economic performance, which is the actual management and operation of the joint venture and having the obligation to absorb losses and the right to receive benefits from the VIE that could potentially be significant to the VIE through our equity investment in the VIE. As a result, the Company has consolidated the operations of the joint venture in its consolidated financial statements.

Segments

Segments

        The segment reporting topic of the Financial Accounting Standards Board ("FASB") codification establishes standards for reporting information about operating segments. The Company is organized into two operating segments, an Industrial Materials segment and a Construction Materials segment. The basis for this segmentation is distinguished by the nature of the products and how they are delivered to their respective markets. The Industrial Materials segment reflects specified products that are used in or integrated into another company's product with demand dependent upon general economic conditions. Industrial Materials products include insulating and conducting materials for wire and cable manufacturers, moisture protective coatings for electronics and printing services, laminated durable papers, laminates for the packaging and industrial laminate markets, pulling and detection tapes used in the installation, measurement and location of fiber optic cables, water and natural gas lines, cover tapes essential to delivering semiconductor components via tape and reel packaging, and wind energy composite materials and elements. Additionally, the Industrial Materials segment includes a joint venture which produces glass-based strength elements designed to allow fiber optic cables to withstand mechanical and environmental strain and stress. The Construction Materials segment reflects its construction project oriented product offerings which are primarily sold and used as "Chase" branded products in final form. Construction Materials products include protective coatings for pipeline applications, coating and lining systems for use in liquid storage and containment applications, high performance polymeric asphalt additives, and expansion and control joint systems for use in the transportation and architectural markets.

Recently Issued Accounting Standards

Recently Issued Accounting Standards

        In February 2013, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2013-02, "Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income". This ASU expands the presentation of changes in accumulated other comprehensive income. The new guidance requires an entity to disaggregate the total change of each component of other comprehensive income either on the face of the net income statement or as a separate disclosure in the notes. ASU 2013-02 is effective for fiscal years beginning after December 15, 2012. The Company adopted this ASU in the first quarter of fiscal 2014 (See Note 23 for additional details). The provisions of ASU 2013-02 did not have a material impact on the Company's consolidated financial position, results of operations or cash flows.

        In May 2014, the FASB issued Accounting Standards Update ("ASU") No. 2014-09, "Revenue from Contracts with Customers", which will replace most existing revenue recognition guidance in U.S. Generally Accepted Accounting Principles. The core principle of the ASU is that an entity should recognize revenue for the transfer of goods or services equal to the amount that it expects to be entitled to receive for those goods or services. The ASU requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments. The ASU will be effective for the Company beginning September 1, 2017 (fiscal 2018), including interim periods in its fiscal year 2018, and allows for both retrospective and prospective methods of adoption. The Company is in the process of determining the method of adoption and assessing the impact of this ASU on the Company's consolidated financial position, results of operations or cash flows.

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Acquisitions (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended			0 Months Ended		1 Months Ended		1 Months Ended	12 Months Ended
	Aug. 31, 2012	Aug. 31, 2014	Aug. 31, 2013	Oct. 31, 2014 Joint venture Subsequent event	Jun. 27, 2012 NEPTCO	Jun. 30, 2012 NEPTCO	Aug. 31, 2012 NEPTCO	Oct. 31, 2014 NEPTCO Subsequent event	Aug. 31, 2012 NEPTCO Term loan	Aug. 31, 2012 NEPTCO United States item	Aug. 31, 2012 NEPTCO China item	Aug. 31, 2012 NEPTCO Joint venture
Acquisitions
Percentage of capital stock acquired							100.00%
Number of manufacturing facilities which the acquiree operates										3	1
Percentage of ownership stake acquired as part of acquisition				50.00%		50.00%		50.00%				50.00%
Ownership interest (as a percent)				100.00%
Term of debt									5 years
Acquisition related costs	$ 3,206
Acquisition cost has been allocated to the acquired tangible and identifiable intangible assets and liabilities assumed based on their fair values
Current assets (net of cash acquired)					24,948
Property, plant & equipment					18,657
Goodwill	37,785	38,280	37,815		19,668
Intangible assets					23,165
Accounts payable and accrued liabilities					(10,841)
Long term liabilities					(736)
Deferred tax liabilities					(11,051)
Non-controlling interest of joint venture partner					(1,593)
Total purchase price					$ 62,217

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Benefits and Pension Plans (Details 6) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Estimated future pension benefit payments
2015		$ 9,628
2016		302
2017		358
2018		630
2019		405
2020-2024		2,657
Employer contribution	$ 0	$ 267	$ 2,300	$ 1,893

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Accumulated Other Comprehensive Income (Details 2) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Accumulated other comprehensive income
Selling, general and administrative expenses	$ (42,640)	$ (43,236)	$ (30,172)
Cost of products and services sold	(145,193)	(146,035)	(101,249)
Tax expense (benefit)	(13,967)	(9,070)	(4,732)
Net income	26,523	16,740	9,264
Reclassification out of accumulated other comprehensive income (loss)
Accumulated other comprehensive income
Net income	548	1,067
Gains on Restricted Investments: | Reclassification out of accumulated other comprehensive income (loss)
Accumulated other comprehensive income
Selling, general and administrative expenses	(63)	(51)
Tax expense (benefit)	22	19
Net income	(41)	(32)
Loss on Funded Pension Plan adjustments: | Reclassification out of accumulated other comprehensive income (loss)
Accumulated other comprehensive income
Selling, general and administrative expenses	820	1,169
Cost of products and services sold	80	521
Tax expense (benefit)	(311)	(591)
Net income	$ 589	$ 1,099

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Summary of Significant Accounting Policies (Details 4) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2014 item	Aug. 31, 2013	Aug. 31, 2012
Restricted Investments and Deferred Compensation
Restricted investments	$ 1,256	$ 1,094
Deferred compensation liability	1,256	1,094
Split-Dollar Life Insurance Arrangements
Discount rate (as a percent)	1.63%
Postretirement obligations	54	56
Revenue Recognition
Period during which warranty claims must be received from the date of delivery	90 days
Research and Product Development Costs
Research and development expense	2,599	3,395	2,958
Stock Based Compensation
Stock-based compensation expense	$ 1,096	$ 1,621	$ 2,040
Weighted average assumptions used to estimate the fair value of options granted
Expected Dividend yield (as a percent)	2.00%	2.20%	2.30%
Expected life	6 years	6 years	6 years
Expected volatility (as a percent)	41.00%	33.00%	30.00%
Risk-free interest rate (as a percent)	2.80%	1.60%	2.20%
Historical volatility period used to determine expected volatility rate	7 years
Segments
Number of operating segments	2

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Segment Data (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2014 item	Aug. 31, 2013	Aug. 31, 2012
Segment Data
Number of operating segments	2
Segment data
Revenues	$ 224,006	$ 216,062	$ 148,919
Income before income taxes	40,490	25,810	13,996
Total assets	245,545	224,360
Interest	1,143	1,294	398
Depreciation	5,692	5,872	3,172
Amortization	4,822	4,793	2,716
Reportable segments
Segment data
Income before income taxes	48,172	32,863	22,556
Total assets	178,792	181,683
Corporate and common costs
Segment data
Income before income taxes	(7,682)	(7,053)	(8,560)
Total assets	66,753	42,677
Industrial Materials
Segment data
Revenues	169,657	163,474	95,988
Income before income taxes	40,015	26,400	17,643
Total assets	127,820	133,110
Interest	959	928	106
Depreciation	4,650	4,914	2,261
Amortization	3,094	3,082	999
Construction Materials
Segment data
Revenues	54,349	52,588	52,931
Income before income taxes	8,157	6,463	4,913
Total assets	50,972	48,573
Interest	184	366	292
Depreciation	982	921	902
Amortization	$ 1,727	$ 1,684	$ 1,690

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Selected Quarterly Financial Data (Unaudited) (Details) (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended								12 Months Ended
	Aug. 31, 2014	May 31, 2014	Feb. 28, 2014	Nov. 30, 2013	Aug. 31, 2013	May 31, 2013	Feb. 28, 2013	Nov. 30, 2012	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Selected Quarterly Financial Data (Unaudited)
Net Sales	$ 59,994	$ 56,973	$ 50,412	$ 53,655	$ 57,862	$ 55,096	$ 47,714	$ 52,976	$ 221,034	$ 213,648	$ 146,494
Gross Profit on Sales	21,298	19,905	16,461	18,177	19,398	18,264	14,247	15,705	75,841	67,614
Net income attributable to Chase Corporation	$ 7,012	$ 6,324	$ 4,520	$ 8,775	$ 5,896	$ 5,134	$ 2,644	$ 3,540	$ 26,631	$ 17,214	$ 9,338
Net income available to common shareholders, per common and common equivalent share:
Basic (in dollars per share)	$ 0.77	$ 0.69	$ 0.50	$ 0.96	$ 0.65	$ 0.57	$ 0.29	$ 0.39	$ 2.92	$ 1.90	$ 1.03
Diluted (in dollars per share)	$ 0.75	$ 0.68	$ 0.48	$ 0.94	$ 0.64	$ 0.56	$ 0.29	$ 0.39	$ 2.86	$ 1.87	$ 1.03

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Joint Venture (Details) (USD $) In Thousands, unless otherwise specified					0 Months Ended	12 Months Ended		1 Months Ended				12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012	Aug. 31, 2011	Oct. 31, 2014 JV Subsequent event	Aug. 31, 2014 JV Joint venture partner	Aug. 31, 2013 JV Joint venture partner	Jun. 30, 2012 NEPTCO	Oct. 31, 2014 NEPTCO Subsequent event	Aug. 31, 2014 NEPTCO Joint venture partner	Aug. 31, 2013 NEPTCO Joint venture partner	Aug. 31, 2014 NEPTCO Joint venture partner Minimum	Aug. 31, 2012 NEPTCO JV	Aug. 31, 2014 NEPTCO JV Joint venture partner
Joint Venture
Percentage of ownership stake acquired					50.00%			50.00%	50.00%				50.00%
Ownership interest held by each member (as a percent)														50.00%
Percentage of net assets and net income (loss) recorded as non-controlling interest in the entity's consolidated financial statements						50.00%
Ownership interest (as a percent)					100.00%					50.00%
ASSETS
Cash	$ 53,222	$ 29,997	$ 15,180	$ 14,982						$ 282	$ 394
Accounts receivable, net	35,601	32,084								1,495	1,106
Inventories, net	31,539	32,048								1,397	1,510
Prepaid expenses and other assets	2,437	1,826								255	283
Property, plant and equipment, net	44,085	45,192								350	448
Intangible assets, net	27,215	31,781								559	706
Total assets	245,545	224,360								4,338	4,447
Liabilities and net assets
Accounts payable and accrued expenses										616	679
Due to Members										1,847	1,677
Total liabilities										2,463	2,356
Net assets										1,875	2,091
Non-controlling interest	938	1,046								938	1,046
Period for which the non-compete agreements exist subsequent to the date on which members no longer own membership interest														4 years
Percentage of total glass fiber requirements agreed to be purchased												80.00%
Purchases made						1,610	1,818
Amounts due for purchases made						$ 394	$ 378

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Valuation and Qualifying Accounts (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Accounts receivable reserve
Changes in valuation allowances and reserves
Balance at Beginning of Year	$ 696	$ 817	$ 473
Charges to Operations	54	135	459
Deductions to Reserves	(80)	(256)	(115)
Balance at End of Year	670	696	817
Accounts receivable reserve | NEPTCO
Changes in valuation allowances and reserves
Charges to Operations			94
Warranty reserve
Changes in valuation allowances and reserves
Balance at Beginning of Year	248	249	362
Charges to Operations	20		157
Deductions to Reserves	2	(1)	(270)
Balance at End of Year	$ 270	$ 248	$ 249

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Export Sales and Foreign Operations (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Export Sales and Foreign Operations
Export sales	$ 21,212	$ 22,827	$ 21,204
Concentration risk
Long-lived assets	44,085	45,192
United Kingdom
Concentration risk
Goodwill and intangible assets	9,924	10,333
Revenues | Geographic concentration risk | United Kingdom
Concentration risk
Percentage of concentration risk	10.00%	7.00%	12.00%
Long-lived assets | Geographic concentration risk | United Kingdom
Concentration risk
Long-lived assets	$ 4,349	$ 4,063

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Benefits and Pension Plans (Details 4)	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Qualified Plan
Target allocation and weighted-average asset allocations
Total target allocation (as a percent)	100.00%	100.00%	100.00%
Percentage of Plan Assets	100.00%	100.00%	100.00%
Expected long term return on plan assets (as a percent)	8.00%	8.00%	8.00%
Neptco plan
Target allocation and weighted-average asset allocations
Total target allocation (as a percent)	100.00%	100.00%	100.00%
Percentage of Plan Assets	100.00%	100.00%	100.00%
Expected long term return on plan assets (as a percent)	8.00%	8.00%	8.00%
Equity securities | Qualified Plan
Target allocation and weighted-average asset allocations
Target Allocation Range, minimum (as a percent)	40.00%	40.00%	40.00%
Target Allocation Range, maximum (as a percent)	70.00%	70.00%	70.00%
Percentage of Plan Assets	43.00%	56.00%	54.00%
Equity securities | Neptco plan
Target allocation and weighted-average asset allocations
Target Allocation Range, minimum (as a percent)	20.00%	20.00%
Target Allocation Range, maximum (as a percent)	65.00%	65.00%
Percentage of Plan Assets	30.00%	56.00%
Debt securities | Qualified Plan
Target allocation and weighted-average asset allocations
Target Allocation Range, minimum (as a percent)	20.00%	20.00%	20.00%
Target Allocation Range, maximum (as a percent)	50.00%	50.00%	50.00%
Percentage of Plan Assets	51.00%	40.00%	39.00%
Debt securities | Neptco plan
Target allocation and weighted-average asset allocations
Target Allocation Range, minimum (as a percent)	35.00%	35.00%
Target Allocation Range, maximum (as a percent)	80.00%	80.00%
Percentage of Plan Assets	60.00%	44.00%
Real estate | Qualified Plan
Target allocation and weighted-average asset allocations
Target Allocation Range, minimum (as a percent)	0.00%	0.00%	0.00%
Target Allocation Range, maximum (as a percent)	15.00%	15.00%	15.00%
Percentage of Plan Assets	0.00%	4.00%	5.00%
Other | Qualified Plan
Target allocation and weighted-average asset allocations
Target Allocation Range, minimum (as a percent)	0.00%	0.00%	0.00%
Target Allocation Range, maximum (as a percent)	10.00%	10.00%	10.00%
Percentage of Plan Assets	6.00%	0.00%	2.00%
Other | Neptco plan
Target allocation and weighted-average asset allocations
Target Allocation Range, minimum (as a percent)	0.00%
Target Allocation Range, maximum (as a percent)	10.00%
Percentage of Plan Assets	10.00%	0.00%	0.00%

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Fair Value Measurements

12 Months Ended

Aug. 31, 2014

Fair Value Measurements

Fair Value Measurements

Note 16—Fair Value Measurements

        The Company generally defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). The Company uses a three-tier fair value hierarchy, which classifies the inputs used in measuring fair values. These tiers include: Level 1, defined as observable inputs such as quoted prices for identical instruments in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.

        The Company endeavors to utilize the best available information in measuring fair value. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company has determined that it does not have any financial liabilities measured at fair value other than long-term debt and that its financial assets are currently all classified within Level 1 in the fair value hierarchy. The financial assets classified as Level 1 as of August 31, 2014 and 2013 represent investments which are restricted for use in a nonqualified retirement savings plan for certain key employees and directors.

        The following table sets forth the Company's financial assets that were accounted for at fair value on a recurring basis as of August 31, 2014 and 2013:

					Fair value measurement category
	Fair value measurement date		Total		Quoted prices in active markets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)
Assets:
Restricted investments		August 31, 2014	$	1,256	$	1,216	$	40	$	—
Restricted investments		August 31, 2013	$	1,094	$	1,094	$	—	$	—

        The following table presents the fair values of the Company's long-term debt as of August 31, 2014 and 2013 which is recorded at its carrying amount:

					Fair value measurement category
	Fair value measurement date		Total		Quoted prices in active markets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)
Liabilities:
Long-term debt		August 31, 2014	$	58,800	$	—	$	58,800	$	—
Long-term debt		August 31, 2013	$	64,400	$	—	$	64,400	$	—

        The carrying value of the long-term debt approximates its fair value, as the interest rate is set based on the movement of the underlying market rates.

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Sale of Insulfab Product Line (Tables)

12 Months Ended

Aug. 31, 2014

Sale of Insulfab Product Line

Summary of information about the Insulfab product line

	October 7, 2013			August 31, 2013
Inventory	$	3,153		$	885
Property & equipment		1,062			1,060
Accrued expenses		(3	)		(40	)
	$	4,212		$	1,905

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Benefits and Pension Plans (Tables)

12 Months Ended

Aug. 31, 2014

Benefits and Pension Plans

Schedule of the status of the Company's pension plans

	Year Ended August 31,
	2014			2013			2012
Change in benefit obligation
Projected benefit obligation at beginning of year	$	15,651		$	17,322		$	13,953
Acquired benefit obligation for Neptco pension plan		—			—			1,806
Service cost		323			352			482
Interest cost		643			503			532
Actuarial loss		2,933			1,019			1,908
Curtailments		—			24			—
Settlements		(1,233	)		(3,443	)		(1,316	)
Benefits paid		(38	)		(126	)		(43	)
Projected benefit obligation at end of year	$	18,279		$	15,651		$	17,322
Change in plan assets
Fair value of plan assets at beginning of year	$	8,826		$	9,405		$	7,235
Fair value of Neptco pension plan assets		—			—			884
Actual return on plan assets		996			690			752
Employer contribution		267			2,300			1,893
Settlements		(1,233	)		(3,443	)		(1,316	)
Benefits paid		(38	)		(126	)		(43	)
Fair value of plan assets at end of year	$	8,818		$	8,826		$	9,405
Funded status at end of year	$	(9,461	)	$	(6,825	)	$	(7,917	)
Amounts recognized in consolidated balance sheets
Non-current assets	$	962		$	1,014		$	—
Current liabilities		(5	)		(5	)		(215	)
Non-current liabilities		(10,418	)		(7,834	)		(7,702	)
Net amount recognized in Consolidated Balance Sheets	$	(9,461	)	$	(6,825	)	$	(7,917	)
Actuarial present value of benefit obligation and funded status
Accumulated benefit obligations	$	16,362		$	13,842		$	14,735
Projected benefit obligations	$	18,279		$	15,651		$	17,322
Plan assets at fair value	$	8,818		$	8,826		$	9,405
Amounts recognized in accumulated other comprehensive Income
Prior service cost	$	64		$	67		$	82
Net actuarial loss		7,567			5,561			6,029
Adjustment to pre-tax accumulated other comprehensive income	$	7,631		$	5,628		$	6,111
Other changes in plan assets and benefit obligations recognized in other comprehensive income
Net loss	$	2,647		$	979		$	1,691
Amortization of loss		(293	)		(250	)		(276	)
Amortization of prior service cost		(3	)		(13	)		(74	)
Effect of settlement on accumulated other comprehensive income		(348	)		(1,198	)		(550	)
Total recognized in other comprehensive income		2,003			(482	)		791
Net periodic pension cost		900			1,690			1,378
Total recognized in net periodic pension cost and other comprehensive income	$	2,903		$	1,208		$	2,169
Estimated amounts that will be amortized from accumulated comprehensive income over the next fiscal year
Prior service cost	$	3		$	3		$	14
Net actuarial loss		307			293			337

Schedule of components of net periodic benefit cost

	Year Ended August 31,
	2014			2013			2012
Components of net periodic benefit cost
Service cost	$	323		$	352		$	482
Interest cost		643			503			532
Expected return on plan assets		(710	)		(651	)		(536	)
Amortization of prior service cost		3			13			74
Amortization of accumulated loss		293			250			276
Settlement and curtailment loss		348			1,223			550
Net periodic benefit cost	$	900		$	1,690		$	1,378

Schedule of weighted-average assumptions used to determine benefit obligations

	2014			2013			2012
Discount rate
Qualified plan		3.83	%		4.54	%		3.40	%
Supplemental plan		3.01	%		3.76	%		3.14	%
Neptco plan		4.06	%		4.63	%		3.77	%
Rate of compensation increase
Qualified and supplemental plan		3.50	%		3.50	%		3.50	%
Neptco plan		0.00	%		0.00	%		0.00	%

Schedule of weighted-average assumptions used to determine net periodic benefit cost

	2014			2013			2012
Discount rate
Qualified plan		4.54	%		3.40	%		4.73	%
Supplemental plan		3.76	%		3.14	%		3.00	%
Neptco plan		4.63	%		3.77	%		4.08	%
Expected long-term return on plan assets
Qualified plan		8.00	%		8.00	%		8.00	%
Supplemental plan		0.00	%		0.00	%		0.00	%
Neptco plan		8.00	%		8.00	%		8.00	%
Rate of compensation increase
Qualified and supplemental plan		3.50	%		3.50	%		3.50	%
Neptco plan		0.00	%		0.00	%		0.00	%

Benefits and pension plans

Schedule of pension plans' assets by asset category

			Fair value measurements at August 31, 2014:								Fair value measurements at August 31, 2013:
	August 31, 2014		Quoted prices in active markets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)		August 31, 2013		Quoted prices in active markets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)
Asset Category
Equity securities	$	3,629	$	3,629	$	—	$	—	$	4,939	$	4,056	$	883	$	—
Debt securities		4,610		4,610		—		—		3,553		2,795		758		—
Real estate		—		—		—		—		334		—		334		—
Other		579		579		—		—		—		—		—		—
Total	$	8,818	$	8,818	$	—	$	—	$	8,826	$	6,851	$	1,975	$	—

Schedule of pension benefit payments (which include expected future service) expected to be paid

Year ending August 31,	Pension Benefits
2015	$	9,628
2016		302
2017		358
2018		630
2019		405
2020-2024	$	2,657

Qualified Plan

Benefits and pension plans

Schedule of target allocation and weighted-average asset allocations

		Percentage of Plan Assets as of August 31,
	Target Allocation Range
Asset Category		2014	2013	2012
Equity securities	40-70%	43%	56%	54%
Debt securities	20-50%	51%	40%	39%
Real estate	0-15%	0%	4%	5%
Other	0-10%	6%	0%	2%
Total	100%	100%	100%	100%

Neptco plan

Benefits and pension plans

Schedule of target allocation and weighted-average asset allocations

		Percentage of Plan Assets as of August 31,
	Target Allocation Range
Asset Category		2014		2013		2012
Equity securities	20-65%		30%		56%		50%
Debt securities	35-80%		60%		44%		50%
Other	0-10%		10%		0%		0%
Total	100%		100%		100%		100%

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Stockholders' Equity (Details 2) (USD $) In Thousands, except Share data, unless otherwise specified	12 Months Ended													1 Months Ended	12 Months Ended	1 Months Ended	12 Months Ended	1 Months Ended			0 Months Ended	1 Months Ended			12 Months Ended				1 Months Ended					1 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012	Aug. 31, 2014 Stock options	Aug. 31, 2013 Stock options	Aug. 31, 2012 Stock options	Aug. 31, 2014 Stock options $11.15	Aug. 31, 2014 Stock options $12.70	Aug. 31, 2014 Stock options $12.77	Aug. 31, 2014 Stock options $14.62	Aug. 31, 2014 Stock options $16.00	Aug. 31, 2014 Stock options $16.53	Aug. 31, 2014 Stock options $29.72	Sep. 30, 2011 Stock options Executive officers 2011 LTIP	Aug. 31, 2011 Stock options Executive officers 2011 LTIP item	Sep. 30, 2011 Stock options Executive officers 2012 LTIP	Aug. 31, 2012 Stock options Executive officers 2012 LTIP item	Aug. 31, 2009 Stock options Chief executive officer	Aug. 31, 2009 Stock options President	Aug. 31, 2009 Stock options Chief financial officer	Apr. 30, 2012 Stock options Non-executive officer employees item	Mar. 31, 2012 Stock options Non-executive officer employees item	Aug. 31, 2011 Stock options Non-executive officer employees	Apr. 30, 2011 Stock options Non-executive officer employees	Aug. 31, 2012 Stock options Non-executive officer employees item	Aug. 31, 2014 Stock options Officers and employees	Aug. 31, 2013 Stock options Officers and employees	Aug. 31, 2012 Stock options Officers and employees	Oct. 31, 2012 Stock options Executive officers and other members of management 2013 LTIP item	Sep. 30, 2013 Stock options Executive officers and other members of management 2014 LTIP item	Aug. 31, 2014 Restricted stock	Aug. 31, 2014 Restricted stock $16.00	Aug. 31, 2014 Restricted stock $29.72	Feb. 29, 2012 Restricted stock Non-employee directors	Feb. 28, 2011 Restricted stock Non-employee directors	Jan. 31, 2010 Restricted stock Non-employee directors
Stockholders' Equity
Vesting period																		4 years	4 years	4 years														12 months	12 months	12 months
Expiration term																		10 years	10 years	10 years
Number of equal annual allotments in which options will vest beginning from the end of the fiscal year															3		3				3	3			3				3	3
Options Outstanding
Number Outstanding (in shares)				463,901			56,250	62,425	74,130	4,420	43,964	196,743	25,969
Weighted Avg. Remaining Contractual Life				5 years 7 months 6 days			5 years	6 years	7 years	7 years 6 months	8 years 1 month 6 days	4 years	9 years
Weighted Average Exercise Price (in dollars per share)				$ 15.43			$ 11.15	$ 12.70	$ 12.77	$ 14.62	$ 16.00	$ 16.53	$ 29.72
Aggregate Intrinsic Value (in dollars)				$ 9,310			$ 1,370	$ 1,424	$ 1,685	$ 92	$ 857	$ 3,732	$ 150
Options Exercisable
Number Exercisable (in shares)				377,406			56,250	62,425	47,333		14,655	196,743															489,463
Weighted Average Exercise Price (in dollars per share)				$ 14.60			$ 11.15	$ 12.70	$ 12.77	$ 14.62	$ 16.00	$ 16.53	$ 29.72														$ 14.47
Aggregate Intrinsic Value (in dollars)				7,887			1,370	1,423	1,076		286	3,732
Options outstanding
Options outstanding at the beginning of the period (in shares)																										552,804	557,882	477,626
Granted (in shares)														62,425		59,493		75,000	50,000	25,000		6,630	20,883	15,201		25,969	43,964	87,006	43,964	25,969
Exercise of stock options (in shares)																										(114,872)	49,042
Forfeited or cancelled (in shares)																												(6,750)
Options outstanding at the end of the period (in shares)																										377,406	552,804	557,882
Weighted Average Exercise Price
Options outstanding at the beginning of the period (in dollars per share)															$ 12.70	$ 12.77	$ 12.77								$ 12.77	$ 14.48	$ 14.23	$ 14.34
Granted (in dollars per share)																										$ 29.72	$ 16.00	$ 12.91
Exercised (in dollars per share)																										$ 14.06	$ 11.46
Forfeited or cancelled (in dollars per share)																												$ 16.53
Options outstanding at the end of the period (in dollars per share)																		$ 11.15	$ 11.15	$ 11.15		$ 14.62	$ 12.77	$ 16.53		$ 14.60	$ 14.48	$ 14.23	$ 16.00	$ 29.72
Additional disclosures
Weighted average grant date fair value of options granted (in dollars per share)				$ 10.52	$ 4.23	$ 3.12
Total pretax intrinsic value of stock options exercised (in dollars)				2,153	678
Common stock available for future issuance (in shares)					1,277,174
Tax (expense) / benefit realized from stock options exercised, vesting of restricted stock and issuance of stock pursuant to grants of restricted stock units (in dollars)	1,324	621	209	1,324	622	209
Outstanding at the end of the period (in shares)																															60,957
Weighted Average Exercise Price (in dollars per share)																																$ 16.00	$ 29.72
Unrecognized expense related to all stock-based compensation (in dollars)				$ 690
Period over which unrecognized expense related to all stock based compensation will be recognized					2 years

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Goodwill and Intangible Assets (Tables)

12 Months Ended

Aug. 31, 2014

Goodwill and Intangible Assets

Schedule of changes in the carrying value of goodwill by operating segment

	Construction Materials			Industrial Materials			Consolidated
Balance at August 31, 2012	$	10,740		$	27,045		$	37,785
Acquisition of NEPTCO, Inc.—working capital settlement		—			(84	)		(84	)
Acquisition of Paper Tyger—additional earnout		—			141			141
Foreign currency translation adjustment		(5	)		(22	)		(27	)
Balance at August 31, 2013	$	10,735		$	27,080		$	37,815
Acquisition of Paper Tyger—additional earnout		—			161			161
Foreign currency translation adjustment		17			287			304
Balance at August 31, 2014	$	10,752		$	27,528		$	38,280

Schedule of intangible assets subject to amortization

	Weighted-Average Amortization Period	Gross Carrying Value		Accumulated Amortization		Net Carrying Value
August 31, 2014
Patents and agreements	11.9 years	$	3,104	$	2,281	$	823
Formulas	9.1 years		5,849		2,851		2,998
Trade names	5.7 years		6,406		3,153		3,253
Customer lists and relationships	10.2 years		34,797		14,656		20,141
		$	50,156	$	22,941	$	27,215
August 31, 2013
Patents and agreements	11.9 years	$	3,198	$	2,200	$	998
Formulas	9.1 years		5,772		2,238		3,534
Trade names	5.7 years		6,345		2,055		4,290
Customer lists and relationships	10.2 years		34,020		11,061		22,959
		$	49,335	$	17,554	$	31,781

Schedule of estimated amortization expense related to intangible assets

Years ending August 31,
2015	$	4,736
2016		4,674
2017		4,237
2018		4,006
2019		3,308
	$	20,961

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Valuation and Qualifying Accounts (Tables)

12 Months Ended

Aug. 31, 2014

Valuation and Qualifying Accounts

Schedule of Company's accounts receivable reserve

Year ended	Balance at Beginning of Year		Charges to Operations		Deductions to Reserves			Balance at End of Year
August 31, 2014	$	696	$	54	$	(80	)	$	670
August 31, 2013	$	817	$	135	$	(256	)	$	696
August 31, 2012	$	473	$	459	$	(115	)	$	817

Schedule of Company's warranty reserve

Year ended	Balance at Beginning of Year		Charges to Operations		Deductions to Reserves			Balance at End of Year
August 31, 2014	$	248	$	20	$	2		$	270
August 31, 2013	$	249		—	$	(1	)	$	248
August 31, 2012	$	362	$	157	$	(270	)	$	249

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Capital and Operating Leases (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Present value of future minimum capital lease payments
2015	$ 43
2016	34
2017	9
Total future minimum lease payments	86
Less: interest (at rates ranging from 4% to 8%)	(8)
Present value of future minimum capital lease payments	78
Less: current portion	(38)
Non-current portion of capital lease	40
Future minimum payments due under operating leases
2015	740
2016	742
2017	737
2018	706
2019	702
2020 and thereafter	3,148
Total future minimum lease payments	6,775
Operating Leases
Rental expense	$ 1,577	$ 1,761	$ 1,178

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Goodwill and Intangible Assets (Details 2) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Goodwill and Intangible Assets
Goodwill related to acquisitions	$ 38,280	$ 37,815	$ 37,785
Goodwill related to acquisitions that is deductible for income taxes	1,440
Intangible assets
Gross Carrying Value	50,156	49,335
Accumulated Amortization	22,941	17,554
Net Carrying Value	27,215	31,781
Aggregate amortization expense	4,822	4,793	2,716
Estimated amortization expense
2015	4,736
2016	4,674
2017	4,237
2018	4,006
2019	3,308
Net Carrying Value	20,961
Patents and agreements
Intangible assets
Weighted-Average Amortization Period	11 years 10 months 24 days	11 years 10 months 24 days
Gross Carrying Value	3,104	3,198
Accumulated Amortization	2,281	2,200
Net Carrying Value	823	998
Formulas
Intangible assets
Weighted-Average Amortization Period	9 years 1 month 6 days	9 years 1 month 6 days
Gross Carrying Value	5,849	5,772
Accumulated Amortization	2,851	2,238
Net Carrying Value	2,998	3,534
Trade names
Intangible assets
Weighted-Average Amortization Period	5 years 8 months 12 days	5 years 8 months 12 days
Gross Carrying Value	6,406	6,345
Accumulated Amortization	3,153	2,055
Net Carrying Value	3,253	4,290
Customer lists and relationships
Intangible assets
Weighted-Average Amortization Period	10 years 2 months 12 days	10 years 2 months 12 days
Gross Carrying Value	34,797	34,020
Accumulated Amortization	14,656	11,061
Net Carrying Value	$ 20,141	$ 22,959

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Joint Venture (Tables)

12 Months Ended

Aug. 31, 2014

Joint Venture

Schedule of consolidated balance sheet related to JV

	August 31,
Assets	2014		2013
Cash	$	282	$	394
Accounts receivable, net		1,495		1,106
Inventories, net		1,397		1,510
Prepaid expenses and other assets		255		283
Property, plant and equipment, net		350		448
Intangible assets, net		559		706
Total assets	$	4,338	$	4,447
Liabilities and net assets
Accounts payable and accrued expenses	$	616	$	679
Due to Members		1,847		1,677
Total liabilities	$	2,463	$	2,356
Net assets	$	1,875	$	2,091
Non-controlling interest	$	938	$	1,046

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CONSOLIDATED STATEMENT OF CASH FLOWS (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$ 26,523	$ 16,740	$ 9,264
Adjustments to reconcile net income to net cash provided by operating activities
(Gain) loss on disposal/sale of fixed assets	2	(8)	32
Gain on sale of product line	(5,706)
Depreciation	5,692	5,872	3,172
Amortization	4,822	4,793	2,716
Cost of sale of inventory step-up		564	828
Provision (recovery) for allowance for doubtful accounts	28	(114)	155
Stock based compensation	1,096	1,621	2,040
Realized gain on restricted investments	(63)	(51)	(22)
Increase (decrease) in cash surrender value life insurance	202	52	(37)
Pension curtailment and settlement loss	348	1,223	550
Excess tax (expense) benefit from stock based compensation	(1,324)	(622)	(209)
Deferred taxes	(2,529)	(1,385)	(1,442)
Increase (decrease) from changes in assets and liabilities
Accounts receivable	(3,335)	(363)	(1,717)
Inventories	(1,550)	(1,240)	942
Prepaid expenses & other assets	(297)	8	(55)
Accounts payable	2,578	886	(2,683)
Accrued expenses	1,351	(791)	(174)
Accrued income taxes	627	850	408
Deferred compensation	141	122	178
Net cash provided by operating activities	28,606	28,157	13,946
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of property, plant and equipment	(4,290)	(3,043)	(5,230)
Cost to acquire intangible assets	(123)	(354)	(74)
Contingent purchase price paid for acquisition	(160)	(141)	(358)
Payments for acquisitions, net of cash acquired		84	(62,217)
Proceeds from sale of fixed assets	17	105	1,032
Net proceeds from sale of product line	9,179
Net withdrawals (contributions) from restricted investments	3	(48)	(60)
Payments for cash surrender value life insurance	(183)	(183)	(183)
Net cash used in investing activities	4,443	(3,580)	(67,090)
CASH FLOWS FROM FINANCING ACTIVITIES
Borrowings on long-term debt	2,104	313	79,331
Payments of principal on debt	(7,704)	(5,913)	(22,054)
Dividend paid	(4,093)	(3,626)	(3,165)
Proceeds from exercise of common stock options	66	74
Payments of statutory minimum taxes on stock options and restricted stock	(2,198)	(1,083)	(813)
Excess tax benefit from stock based compensation	1,324	621	209
Net cash (used in) provided by financing activities	(10,501)	(9,614)	53,508
INCREASE IN CASH & CASH EQUIVALENTS	22,548	14,963	364
Effect of foreign exchange rates on cash	677	(146)	(166)
CASH & CASH EQUIVALENTS, BEGINNING OF PERIOD	29,997	15,180	14,982
CASH & CASH EQUIVALENTS, END OF PERIOD	$ 53,222	$ 29,997	$ 15,180

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Cash Surrender Value of Life Insurance (Details) (USD $) In Thousands, unless otherwise specified	Aug. 31, 2014	Aug. 31, 2013
Cash Surrender Value of Life Insurance
Loans related to life insurance policies	$ 5	$ 5
Cash surrender value of life insurance	7,249	7,278
John Hancock
Cash Surrender Value of Life Insurance
Cash surrender value of life insurance	4,450	4,450
John Hancock (formerly Manufacturers' Life Insurance Company)
Cash Surrender Value of Life Insurance
Cash surrender value of life insurance	1,054	1,009
Metropolitan Life Insurance
Cash Surrender Value of Life Insurance
Cash surrender value of life insurance	1,665	1,739
Other life insurance carriers
Cash Surrender Value of Life Insurance
Cash surrender value of life insurance	$ 80	$ 80

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Stockholders' Equity (Tables)

12 Months Ended

Aug. 31, 2014

Stockholders' Equity

Summary of information about stock options outstanding

	Options Outstanding								Options Exercisable
Exercise Prices	Number Outstanding		Weighted Avg. Remaining Contractual Life		Weighted Average Exercise Price		Aggregate Intrinsic Value		Number Exercisable		Weighted Average Exercise Price		Aggregate Intrinsic Value
$11.15		56,250		5.0 years	$	11.15	$	1,370		56,250	$	11.15	$	1,370
$12.70		62,425		6.0 years		12.70		1,424		62,425		12.70		1,423
$12.77		74,130		7.0 years		12.77		1,685		47,333		12.77		1,076
$14.62		4,420		7.5 years		14.62		92		—		14.62		—
$16.00		43,964		8.1 years		16.00		857		14,655		16.00		286
$16.53		196,743		4.0 years		16.53		3,732		196,743		16.53		3,732
$29.72		25,969		9.0 years		29.72		150		—		29.72		—
		463,901		5.6 years	$	15.43	$	9,310		377,406	$	14.60	$	7,887

Summary of the transactions of the Company's stock option plans

	Officers and Employees			Weighted Average Exercise Price
Options outstanding as of August 31, 2011		477,626		$	14.34
Granted		87,006			12.91
Exercised		—			—
Forfeited or cancelled		(6,750	)		16.53
Options outstanding at August 31, 2012		557,882		$	14.23
Granted		43,964			16.00
Exercised		(49,042	)		11.46
Forfeited or cancelled		—			—
Options outstanding at August 31, 2013		552,804		$	14.48
Granted		25,969			29.72
Exercised		(114,872	)		14.06
Forfeited or cancelled		—			—
Options outstanding at August 31, 2014		463,901		$	15.43
Options exercisable at August 31, 2014		377,406		$	14.60

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Related Party Agreements

12 Months Ended

Aug. 31, 2014

Related Party Agreements

Related Party Agreements

Note 20—Related Party Agreements

        As part of the Company's purchase of NEPTCO in June 2012, it also acquired NEPTCO's 50% ownership stake in its financially-controlled joint venture, NEPTCO JV LLC ("JV"). The JV was originally formed by NEPTCO and a joint venture partner, Owens Corning, in 2003, whereby each member's fiber optic strength elements businesses were combined. Prior to the Company's October 31, 2014 purchase of the outstanding 50% non-controlling membership interest from its now-former joint venture partner, this venture, which was 50% owned by each member, was managed and operated on a day-to-day basis by NEPTCO. While operating under the joint ownership of the members, the JV had agreed to purchase a minimum of 80% of its total glass fiber requirements from Owens Corning. Additionally, the JV had agreed to purchase private-label products exclusively from an affiliate of the joint venture partner; however, the JV was not subject to a minimum purchase requirement on private-label products. These purchase agreements were terminated on October 31, 2014. Purchases from the joint venture partner totaled $1,610 and $1,818 for the years ended August 31, 2014 and 2013, respectively. The JV had amounts due to the other joint venture partner of $394 and $378 at August 31, 2014 and 2013, respectively. Please see Notes 14 and 15 to the Company's Consolidated Financial Statements for additional information on the JV.

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Contingencies

12 Months Ended

Aug. 31, 2014

Contingencies

Contingencies

Note 19—Contingencies

        The Company is involved from time to time in litigation incidental to the conduct of its business. Although the Company does not expect that the outcome in any of these matters, individually or collectively, will have a material adverse effect on its financial condition, results of operations or cashflows, litigation is inherently unpredictable. Therefore, judgments could be rendered or settlements entered, that could adversely affect the Company's operating results or cash flows in a particular period. The Company routinely assesses all of its litigation and threatened litigation as to the probability of ultimately incurring a liability, and records its best estimate of the ultimate loss in situations where the Company assesses the likelihood of loss as probable.

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Summary of Significant Accounting Policies (Details 3)	12 Months Ended
	Aug. 31, 2014 item
Goodwill
Number of operating segments	2
Buildings and improvements | Minimum
Property, plant and equipment
Estimated useful life	15 years
Buildings and improvements | Maximum
Property, plant and equipment
Estimated useful life	40 years
Machinery and equipment | Minimum
Property, plant and equipment
Estimated useful life	3 years
Machinery and equipment | Maximum
Property, plant and equipment
Estimated useful life	10 years

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Segment Data (Tables)

12 Months Ended

Aug. 31, 2014

Segment Data

Summary of information about the Company's reportable segments

	Years Ended August 31,
	2014			2013			2012
Revenues
Industrial Materials	$	169,657		$	163,474		$	95,988
Construction Materials		54,349			52,588			52,931
Total	$	224,006		$	216,062		$	148,919
Income before taxes
Industrial Materials	$	40,015		$	26,400		$	17,643
Construction Materials		8,157			6,463			4,913
Total for reportable segments		48,172			32,863			22,556
Corporate and common costs		(7,682	)		(7,053	)		(8,560	)
Total	$	40,490		$	25,810		$	13,996
Includes the following costs by segment:
Industrial Materials
Interest	$	959		$	928		$	106
Depreciation		4,650			4,914			2,261
Amortization		3,094			3,082			999
Construction Materials
Interest	$	184		$	366		$	292
Depreciation		982			921			902
Amortization		1,727			1,684			1,690

Schedule of total assets for the Company's reportable segments

	As of August 31,
	2014		2013
Total assets
Industrial Materials	$	127,820	$	133,110
Construction Materials		50,972		48,573
Total for reportable segments		178,792		181,683
Corporate and common assets		66,753		42,677
Total	$	245,545	$	224,360

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Selected Quarterly Financial Data (Unaudited)

12 Months Ended

Aug. 31, 2014

Selected Quarterly Financial Data (Unaudited)

Selected Quarterly Financial Data (Unaudited)

Note 21—Selected Quarterly Financial Data (Unaudited)

        The following table presents unaudited operating results for each of the Company's quarters in the years ended August 31, 2014 and 2013:

	Fiscal Year 2014 Quarters
	First		Second		Third		Fourth		Year
Net Sales	$	53,655	$	50,412	$	56,973	$	59,994	$	221,034
Gross Profit on Sales		18,177		16,461		19,905		21,298		75,841
Net income attributable to Chase Corporation	$	8,775	$	4,520	$	6,324	$	7,012	$	26,631
Net income available to common shareholders, per common and common equivalent share:
Basic	$	0.96	$	0.50	$	0.69	$	0.77	$	2.92
Diluted	$	0.94	$	0.48	$	0.68	$	0.75	$	2.86

	Fiscal Year 2013 Quarters
	First		Second		Third		Fourth		Year
Net Sales	$	52,976	$	47,714	$	55,096	$	57,862	$	213,648
Gross Profit on Sales		15,705		14,247		18,264		19,398		67,614
Net income attributable to Chase Corporation	$	3,540	$	2,644	$	5,134	$	5,896	$	17,214
Net income available to common shareholders, per common and common equivalent share:
Basic	$	0.39	$	0.29	$	0.57	$	0.65	$	1.90
Diluted	$	0.39	$	0.29	$	0.56	$	0.64	$	1.87

        Note: Quarterly earnings per share amounts may not sum to earnings per share for the year due to rounding.

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Valuation and Qualifying Accounts

12 Months Ended

Aug. 31, 2014

Valuation and Qualifying Accounts

Valuation and Qualifying Accounts

Note 22—Valuation and Qualifying Accounts

        The following table sets forth activity in the Company's accounts receivable reserve:

Year ended	Balance at Beginning of Year		Charges to Operations		Deductions to Reserves			Balance at End of Year
August 31, 2014	$	696	$	54	$	(80	)	$	670
August 31, 2013	$	817	$	135	$	(256	)	$	696
August 31, 2012	$	473	$	459	$	(115	)	$	817

        The charges to operations for the fiscal year ended August 31, 2012 include $94 recorded as part of the NEPTCO purchase accounting.

        The following table sets forth activity in the Company's warranty reserve:

Year ended	Balance at Beginning of Year		Charges to Operations		Deductions to Reserves			Balance at End of Year
August 31, 2014	$	248	$	20	$	2		$	270
August 31, 2013	$	249		—	$	(1	)	$	248
August 31, 2012	$	362	$	157	$	(270	)	$	249

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CONSOLIDATED STATEMENT OF EQUITY (Parenthetical) (USD $) In Thousands, except Per Share data, unless otherwise specified	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
CONSOLIDATED STATEMENTS OF EQUITY
Cash dividend paid (in dollars per share)	$ 0.45	$ 0.40	$ 0.35
Change in funded status of pension plan, tax	$ 796	$ 281	$ 297
Net unrealized gain on restricted investments, tax	$ 38	$ 20	$ 20

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Accumulated Other Comprehensive Income

12 Months Ended

Aug. 31, 2014

Accumulated Other Comprehensive Income

Accumulated Other Comprehensive Income

Note 23—Accumulated Other Comprehensive Income

        The changes in accumulated other comprehensive income (loss), net of tax, were as follows:

	Restricted Investments			Change in Funded Status of Pension Plan			Foreign Currency Translation Adjustment			Total
Balance at August 31, 2012	$	59		$	(3,779	)	$	(1,310	)	$	(5,030	)
Other comprehensive gains (losses) before reclassifications		117			(898	)		(419	)		(1,200	)
Reclassifications to net income of previously deferred (gains) losses		(32	)		1,099			—			1,067
Other comprehensive income (loss)		85			201			(419	)		(133	)
Balance at August 31, 2013	$	144		$	(3,578	)	$	(1,729	)	$	(5,163	)
Other comprehensive gains (losses) before reclassifications		106			(1,796	)		2,055			365
Reclassifications to net income of previously deferred (gains) losses		(41	)		589			—			548
Other comprehensive income (loss)		65			(1,207	)		2,055			913
Balance at August 31, 2014	$	209		$	(4,785	)	$	326		$	(4,250	)

        The following table summarizes the reclassifications from accumulated other comprehensive income (loss) to the consolidated statements of income:

	Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income
	Year Ended August 31,2014			Year Ended August 31,2013			Location of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income
Gains on Restricted Investments:
Realized gain on sale of restricted investments	$	(63	)	$	(51	)	Selling, general and administrative expenses
Tax expense		22			19
Gain net of tax	$	(41	)	$	(32	)
Loss on Funded Pension Plan adjustments:
Change in funded status of pension plan	$	80		$	521		Cost of products and services sold
Change in funded status of pension plan	$	820		$	1,169		Selling, general and administrative expenses
Tax benefit		(311	)		(591	)
Loss net of tax	$	589		$	1,099
Total net loss reclassified for the period	$	548		$	1,067

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Net Income Per Share (Details) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended								12 Months Ended
	Aug. 31, 2014	May 31, 2014	Feb. 28, 2014	Nov. 30, 2013	Aug. 31, 2013	May 31, 2013	Feb. 28, 2013	Nov. 30, 2012	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Net income per share
Net income attributable to Chase Corporation	$ 7,012	$ 6,324	$ 4,520	$ 8,775	$ 5,896	$ 5,134	$ 2,644	$ 3,540	$ 26,631	$ 17,214	$ 9,338
Less: Allocated to participating securities									449	396	295
Available to common shareholders									$ 26,182	$ 16,818	$ 9,043
Basic weighted average shares outstanding									8,952,026	8,860,972	8,761,262
Additional dilutive common stock equivalents (in shares)									213,640	117,466	25,488
Diluted weighted average shares outstanding									9,165,666	8,978,438	8,786,750
Net income available to common shareholders, per common and common equivalent share
Basic (in dollars per share)	$ 0.77	$ 0.69	$ 0.50	$ 0.96	$ 0.65	$ 0.57	$ 0.29	$ 0.39	$ 2.92	$ 1.90	$ 1.03
Diluted (in dollars per share)	$ 0.75	$ 0.68	$ 0.48	$ 0.94	$ 0.64	$ 0.56	$ 0.29	$ 0.39	$ 2.86	$ 1.87	$ 1.03
Antidilutive securities
Antidilutive stock options excluded from computation of earnings per share amount (in shares)									0	0	265,081

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Income Taxes (Tables)

12 Months Ended

Aug. 31, 2014

Income Taxes

Schedule of domestic and foreign pre-tax income

	Year Ended August 31,
	2014		2013		2012
United States	$	35,480	$	23,562	$	12,767
Foreign		5,010		2,248		1,229
	$	40,490	$	25,810	$	13,996

Schedule of provision (benefit) for income taxes

	Year Ended August 31,
	2014			2013			2012
Current:
Federal	$	13,012		$	8,112		$	5,073
State		1,437			1,652			392
Foreign		1,149			1,043			287
Total current income tax provision		15,598			10,807			5,752
Deferred:
Federal		(1,446	)		(1,302	)		(860	)
State		(168	)		(92	)		(150	)
Foreign		(17	)		(343	)		(10	)
Total deferred income tax benefit		(1,631	)		(1,737	)		(1,020	)
Total income tax provision	$	13,967		$	9,070		$	4,732

Schedule of reconciliation of the effective income tax rate with the U.S. federal statutory income tax rate

	Year Ended August 31,
	2014			2013			2012
Federal statutory rates		35.0	%		35.0	%		35.0	%
Adjustment resulting from the tax effect of:
State and local taxes, net of federal benefit		1.8	%		3.8	%		1.1	%
Domestic production deduction		(3.1	)%		(3.3	)%		(3.5	)%
Foreign tax rate differential		(1.3	)%		(0.7	)%		(0.6	)%
Adjustment to uncertain tax position		0.3	%		(1.1	)%		(1.3	)%
Transaction costs not deductible		—			—			2.6	%
Research credit generated		(0.2	)%		(1.2	)%		(0.8	)%
Noncontrolling partnership interest		0.1	%		0.6	%		—
Tax effect of undistributed earnings		1.8	%		0.6	%		0.1	%
Other		0.1	%		1.4	%		1.2	%
Effective income tax rate		34.5	%		35.1	%		33.8	%

Summary of the tax effect of temporary differences on the Company's income tax provision

	Year Ended August 31,
	2014			2013			2012
Current income tax provision	$	15,598		$	10,807		$	5,752
Deferred provision (benefit):
Allowance for doubtful accounts		(149	)		(15	)		(39	)
Inventories		(167	)		(259	)		(640	)
Pension expense		(332	)		(207	)		446
Deferred compensation		(36	)		(51	)		(70	)
Loan finance costs		7			66			(116	)
Accruals		(12	)		861			(177	)
Warranty reserve		(6	)		—			(56	)
Depreciation and amortization		(1,914	)		(1,836	)		(701	)
Restricted stock grant		315			(102	)		(74	)
Unrepatriated earnings		1,753			1,572			(133	)
Foreign taxes net of unrepatriated earnings		(1,014	)		(1,425	)		497
Foreign amortization		(106	)		(105	)		(134	)
Other accrued expenses		30			(236	)		177
Total deferred income tax benefit		(1,631	)		(1,737	)		(1,020	)
Total income tax provision	$	13,967		$	9,070		$	4,732

Summary of tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities

	As of August 31,
	2014			2013
Current:
Deferred tax assets:
Allowance for doubtful accounts	$	479		$	330
Inventories		1,458			1,291
Accruals		342			504
Warranty reserve		88			82
Current deferred tax assets		2,367			2,207
Deferred tax liabilities:
Prepaid liabilities		(52	)		(92	)
Current deferred tax liabilities		(52	)		(92	)
Current deferred tax assets, net		2,315			2,115
Noncurrent:
Deferred tax assets:
Pension accrual		3,464			2,162
Deferred compensation		811			775
Loan finance costs		44			50
Unrealized gain/loss on restricted investments		(61	)		(23	)
Restricted stock grants		804			1,122
Non qualified stock options		16			16
Foreign tax credits		7,340			6,326
Foreign other		470			256
Noncurrent deferred tax assets		12,888			10,684
Deferred tax liabilities:
Unrepatriated earnings		(8,148	)		(6,515	)
Foreign intangibles		—			118
Depreciation and amortization		(11,812	)		(13,780	)
Other		(38	)		26
Noncurrent deferred tax liabilities		(19,998	)		(20,151	)
Noncurrent deferred tax liabilities, net		(7,110	)		(9,467	)
Net deferred tax liabilities	$	(4,795	)	$	(7,352	)

Summary of the Company's adjustments to its uncertain tax positions

	2014			2013			2012
Balance, at beginning of the year	$	900		$	1,180		$	893
Increase for tax positions related to the current year		58			17			19
Increase / (decrease) for tax positions related to prior years		80			73			(176	)
Increase for amounts recorded in acquisition accounting		—			—			465
Decreases for settlements with applicable taxing authorities		—			—			(21	)
Decreases for lapses of statute of limitations		(8	)		(370	)		—
Balance, at end of year	$	1,030		$	900		$	1,180

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Accumulated Other Comprehensive Income (Tables)

12 Months Ended

Aug. 31, 2014

Accumulated Other Comprehensive Income

Schedule of changes in accumulated other comprehensive income (loss), net of tax

	Restricted Investments			Change in Funded Status of Pension Plan			Foreign Currency Translation Adjustment			Total
Balance at August 31, 2012	$	59		$	(3,779	)	$	(1,310	)	$	(5,030	)
Other comprehensive gains (losses) before reclassifications		117			(898	)		(419	)		(1,200	)
Reclassifications to net income of previously deferred (gains) losses		(32	)		1,099			—			1,067
Other comprehensive income (loss)		85			201			(419	)		(133	)
Balance at August 31, 2013	$	144		$	(3,578	)	$	(1,729	)	$	(5,163	)
Other comprehensive gains (losses) before reclassifications		106			(1,796	)		2,055			365
Reclassifications to net income of previously deferred (gains) losses		(41	)		589			—			548
Other comprehensive income (loss)		65			(1,207	)		2,055			913
Balance at August 31, 2014	$	209		$	(4,785	)	$	326		$	(4,250	)

Summary of the reclassifications from accumulated other comprehensive income (loss) to the consolidated statements of income

	Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income
	Year Ended August 31,2014			Year Ended August 31,2013			Location of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income
Gains on Restricted Investments:
Realized gain on sale of restricted investments	$	(63	)	$	(51	)	Selling, general and administrative expenses
Tax expense		22			19
Gain net of tax	$	(41	)	$	(32	)
Loss on Funded Pension Plan adjustments:
Change in funded status of pension plan	$	80		$	521		Cost of products and services sold
Change in funded status of pension plan	$	820		$	1,169		Selling, general and administrative expenses
Tax benefit		(311	)		(591	)
Loss net of tax	$	589		$	1,099
Total net loss reclassified for the period	$	548		$	1,067

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Benefits and Pension Plans (Details 5) (USD $) In Thousands, unless otherwise specified	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012	Aug. 31, 2011
Benefits and pension plans
Fair value of plan assets	$ 8,816	$ 8,826	$ 9,405	$ 7,235
Total
Benefits and pension plans
Fair value of plan assets	8,818	8,826
Total | Equity securities
Benefits and pension plans
Fair value of plan assets	3,629	4,939
Total | Debt securities
Benefits and pension plans
Fair value of plan assets	4,610	3,553
Total | Real estate
Benefits and pension plans
Fair value of plan assets		334
Total | Other
Benefits and pension plans
Fair value of plan assets	579
Quoted prices in active markets (Level 1)
Benefits and pension plans
Fair value of plan assets	8,818	6,851
Quoted prices in active markets (Level 1) | Equity securities
Benefits and pension plans
Fair value of plan assets	3,629	4,056
Quoted prices in active markets (Level 1) | Debt securities
Benefits and pension plans
Fair value of plan assets	4,610	2,795
Quoted prices in active markets (Level 1) | Other
Benefits and pension plans
Fair value of plan assets	579
Significant other observable inputs (Level 2)
Benefits and pension plans
Fair value of plan assets		1,975
Significant other observable inputs (Level 2) | Equity securities
Benefits and pension plans
Fair value of plan assets		883
Significant other observable inputs (Level 2) | Debt securities
Benefits and pension plans
Fair value of plan assets		758
Significant other observable inputs (Level 2) | Real estate
Benefits and pension plans
Fair value of plan assets		$ 334

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CONSOLIDATED BALANCE SHEETS (USD $) In Thousands, unless otherwise specified	Aug. 31, 2014	Aug. 31, 2013
Current Assets
Cash & cash equivalents	$ 53,222	$ 29,997
Accounts receivable, less allowance for doubtful accounts of $670 and $696	35,601	32,084
Inventories	31,539	32,048
Prepaid expenses and other current assets	2,437	1,826
Due from sale of product line	739
Assets held for sale		1,905
Deferred income taxes	2,315	2,115
Total current assets	125,853	99,975
Property, plant and equipment, net	44,085	45,192
Other Assets
Goodwill	38,280	37,815
Intangible assets, less accumulated amortization of $22,941 and $17,554	27,215	31,781
Cash surrender value of life insurance	7,249	7,278
Restricted investments	1,256	1,094
Funded pension plan	962	1,014
Deferred income taxes	470	(9,467)
Other assets	175	211
Total assets	245,545	224,360
Current Liabilities
Accounts payable	15,121	12,416
Accrued payroll and other compensation	7,754	7,046
Accrued expenses	4,842	5,171
Accrued income taxes	1,377	2,161
Current portion of long-term debt	7,000	5,600
Total current liabilities	36,094	32,394
Long-term debt, less current portion	51,800	58,800
Deferred compensation	2,037	1,897
Accumulated pension obligation	10,418	7,834
Other liabilities	126	108
Deferred income taxes	7,580	9,467
Commitments and Contingencies (Notes 6, 8 and 19)
Equity
First Serial Preferred Stock, $1.00 par value: Authorized 100,000 shares; none issued
Common stock, $.10 par value: Authorized 20,000,000 shares; 9,103,292 shares at August 31, 2014 and 9,066,115 shares at August 31, 2013 issued and outstanding	910	907
Additional paid-in capital	13,620	13,336
Accumulated other comprehensive loss	(4,250)	(5,163)
Retained earnings	126,272	103,734
Chase Corporation stockholders' equity	136,552	112,814
Non-controlling interest related to NEPTCO joint venture (Note 15)	938	1,046
Total equity	137,490	113,860
Total liabilities and equity	$ 245,545	$ 224,360

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Supplemental Cash Flow Data (Tables)

12 Months Ended

Aug. 31, 2014

Supplemental Cash Flow Data

Schedule of supplemental cash flow information

	2014			2013		2012
Income taxes paid	$	15,084		$	9,913	$	5,561
Interest paid	$	1,224		$	1,545	$	352
Non-cash Investing and Financing Activities
Common stock received for payment of stock option exercises	$	1,550		$	488	$	—
Property, plant & equipment additions included in accounts payable	$	91		$	112	$	117
Sale of Insulfab product line
Current assets (excluding cash)	$	(3,153	)
Property and equipment		(1,062	)
Accounts payable and accrued liabilities		3
Gain on sale of business		(5,706	)
Cash received from sale of product line, net of transaction costs	$	9,918
Acquisition of Neptco Inc
Current assets (excluding cash)						$	24,948
Property and equipment							18,657
Goodwill							19,668
Intangible assets							23,165
Accounts payable and accrued liabilities							(10,841	)
Long term liabilities							(736	)
Deferred tax liabilities							(11,051	)
Minority interest of joint venture partner							(1,593	)
Cash provided through operating cash and increase in debt						$	(62,217	)

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CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Net unrealized gain on restricted investments, tax	$ 38	$ 20	$ 20
Change in funded status of pension plans, tax	$ (796)	$ 281	$ 297

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Property, Plant and Equipment (Details) (USD $) In Thousands, unless otherwise specified	Aug. 31, 2014	Aug. 31, 2013
Property, plant and equipment
Property, plant and equipment, gross	$ 80,543	$ 76,743
Accumulated depreciation	(36,458)	(31,551)
Property, plant and equipment, net	44,085	45,192
Land and improvements
Property, plant and equipment
Property, plant and equipment, gross	5,770	5,719
Buildings
Property, plant and equipment
Property, plant and equipment, gross	21,259	20,943
Machinery and equipment
Property, plant and equipment
Property, plant and equipment, gross	49,045	44,284
Leasehold improvements
Property, plant and equipment
Property, plant and equipment, gross	2,091	2,034
Construction in progress
Property, plant and equipment
Property, plant and equipment, gross	$ 2,378	$ 3,763

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Inventories (Tables)

12 Months Ended

Aug. 31, 2014

Inventories

Schedule of inventories

	2014		2013
Raw materials	$	13,785	$	14,545
Work in process		7,359		5,967
Finished goods		10,395		11,536
Total Inventories	$	31,539	$	32,048

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Income Taxes (Details 2) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Income Taxes
Current income tax provision	$ 15,598	$ 10,807	$ 5,752
Deferred provision (benefit):
Allowance for doubtful accounts	(149)	(15)	(39)
Inventories	(167)	(259)	(640)
Pension expense	(332)	(207)	446
Deferred compensation	(36)	(51)	(70)
Loan finance costs	7	66	(116)
Accruals	(12)	861	(177)
Warranty reserve	(6)		(56)
Depreciation and amortization	(1,914)	(1,836)	(701)
Restricted stock grant	315	(102)	(74)
Unrepatriated earnings	1,753	1,572	(133)
Foreign taxes net of unrepatriated earnings	(1,014)	(1,425)	497
Foreign amortization	(106)	(105)	(134)
Other accrued expenses	30	(236)	177
Total deferred income tax benefit	(1,631)	(1,737)	(1,020)
Total income tax provision	$ 13,967	$ 9,070	$ 4,732

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Supplemental Cash Flow Data

12 Months Ended

Aug. 31, 2014

Supplemental Cash Flow Data

Supplemental Cash Flow Data

Note 13—Supplemental Cash Flow Data

        Supplemental cash flow information for the years ended August 31, 2014, 2013 and 2012 is as follows:

	2014			2013		2012
Income taxes paid	$	15,084		$	9,913	$	5,561
Interest paid	$	1,224		$	1,545	$	352
Non-cash Investing and Financing Activities
Common stock received for payment of stock option exercises	$	1,550		$	488	$	—
Property, plant & equipment additions included in accounts payable	$	91		$	112	$	117
Sale of Insulfab product line
Current assets (excluding cash)	$	(3,153	)
Property and equipment		(1,062	)
Accounts payable and accrued liabilities		3
Gain on sale of business		(5,706	)
Cash received from sale of product line, net of transaction costs	$	9,918
Acquisition of Neptco Inc
Current assets (excluding cash)						$	24,948
Property and equipment							18,657
Goodwill							19,668
Intangible assets							23,165
Accounts payable and accrued liabilities							(10,841	)
Long term liabilities							(736	)
Deferred tax liabilities							(11,051	)
Minority interest of joint venture partner							(1,593	)
Cash provided through operating cash and increase in debt						$	(62,217	)

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Property, Plant and Equipment (Tables)

12 Months Ended

Aug. 31, 2014

Property, Plant and Equipment

Schedule of property, plant and equipment

	2014			2013
Property, Plant and Equipment
Land and improvements	$	5,770		$	5,719
Buildings		21,259			20,943
Machinery and equipment		49,045			44,284
Leasehold improvements		2,091			2,034
Construction in progress		2,378			3,763
		80,543			76,743
Accumulated depreciation		(36,458	)		(31,551	)
Property, plant and equipment, net	$	44,085		$	45,192

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Joint Venture

12 Months Ended

Aug. 31, 2014

Joint Venture

Joint Venture

Note 15—Joint Venture

        The NEPTCO JV LLC ("JV") was originally formed in 2003 by NEPTCO and a joint venture partner, an otherwise unrelated party (collectively, the "members"), whereby each member's fiber optic strength elements businesses were combined. This venture, which was 50% owned by each member, was managed and operated on a day-to-day basis by NEPTCO. The JV operates out of the Company's Granite Falls, NC facility.

        The Company accounts for the joint venture partner's non-controlling interest in the JV under ASC Topic 810 "Consolidations" ("ASC 810"). Based on the criteria in ASC 810, the Company determined that the JV qualifies as a variable interest entity ("VIE"). Because of the Company's controlling financial interest, the JV's assets and liabilities and results of operations have been consolidated within the Company's consolidated financial statements since June 27, 2012, the date the Company acquired NEPTCO. An offsetting amount equal to 50% of net assets and net income (loss) of the JV has been recorded within the Company's consolidated financial statements to the non-controlling interest, representing the joint venture partner's 50% ownership interest and pro rata share in the JV.

        At August 31, 3014 and 2013, the following amounts were consolidated in the Company's balance sheets related to the JV:

	August 31,
Assets	2014		2013
Cash	$	282	$	394
Accounts receivable, net		1,495		1,106
Inventories, net		1,397		1,510
Prepaid expenses and other assets		255		283
Property, plant and equipment, net		350		448
Intangible assets, net		559		706
Total assets	$	4,338	$	4,447
Liabilities and net assets
Accounts payable and accrued expenses	$	616	$	679
Due to Members		1,847		1,677
Total liabilities	$	2,463	$	2,356
Net assets	$	1,875	$	2,091
Non-controlling interest	$	938	$	1,046

        Effective on the date of the JV's inception, and for four years following the date on which the members no longer own any membership interest in the JV, non-compete agreements exist between the members. Each member retained the right to tender an offer to buy the other member's share. Once an offer is tendered, the tendered member has the option to either sell, or match the initial offer to purchase the tendering member's share.

        See Note 14 for additional information regarding the Company's October 2014 acquisition of the 50% outstanding non-controlling membership interest in NEPTCO JV LLC.

        Under the JV agreement, the JV is barred from issuing third party debt, other than customary accounts payable resulting from its normal trade operations. The liabilities of the JV are not guaranteed by any portion of NEPTCO or the Company.

        The JV has agreed to purchase a minimum of 80% of its total glass fiber requirements from the other joint venture partner. Additionally, the JV has agreed to purchase private-label products exclusively from an affiliate of the other joint venture partner; however, the JV is not subject to a minimum purchase requirement on private-label products. Purchases from the joint venture partner totaled $1,610 and $1,818 for the years ended August 31, 2014 and 2013, respectively. The JV had amounts due to the other joint venture partner of $394 and $378 at August 31, 2014 and 2013, respectively.

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Benefits and Pension Plans (Details) (USD $)	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
401(k) Plan
Eligibility age for defined contribution plan	21 years
Minimum eligibility service period	6 months
Employer match of employee contributions of first percent of eligible compensation	100.00%
Percentage of eligible compensation, matched 100% by employer	1.00%
Employer match of employee contributions after the first percent of eligible compensation (as a percent)	50.00%
Maximum percentage of employee's annual salary, matched by employer	3.50%
Contribution expense	$ 392,000,000	$ 351,000,000	$ 294,000,000
Non-Qualified Deferred Savings Plan
Recorded liability for Board of Directors and selected employees savings plan	1,256,000	1,094,000
401(k) Plan
Percent of participant's compensation	3.50%
NEPTCO
401(k) Plan
Number of 401(k) savings plans	2
Maximum | NEPTCO
401(k) Plan
Percent of annual compensation participants may defer	10.00%
Minimum | NEPTCO
401(k) Plan
Percent of annual compensation participants may defer	1.00%
Union Employees | NEPTCO
401(k) Plan
Maximum percentage of employee's annual salary, matched by employer	3.00%
401(k) Plan
Number of 401(k) savings plans	1
Amount for each $1.00 of participant deferrals the company may contribute	0.50
Base amount of participant deferrals for company contributions	1.00
Percent of participant's compensation	3.00%
Non-union Employees | NEPTCO
401(k) Plan
Maximum percentage of employee's annual salary, matched by employer	3.00%
401(k) Plan
Number of 401(k) savings plans	1
Amount for each $1.00 of participant deferrals the company may contribute	0.75
Base amount of participant deferrals for company contributions	$ 1.00
Percent of participant's compensation	3.00%

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CONSOLIDATED STATEMENT OF EQUITY (USD $) In Thousands, except Share data, unless otherwise specified	Total	Chase Stockholders' Equity	Common Stock	Additional Paid-In Capital	Accumulated Other Comprehensive Income (loss)	Retained Earnings	Non-controlling Interest
Balance at Aug. 31, 2011	$ 91,880	$ 91,880	$ 895	$ 10,678	$ (3,666)	$ 83,973
Balance (in shares) at Aug. 31, 2011			8,952,910
Increase (Decrease) in Stockholders' Equity
Restricted stock grants, net of forfeitures			10	(10)
Restricted stock grants, net of forfeitures (in shares)			98,135
Amortization of restricted stock grants	1,448	1,448		1,448
Amortization of stock option grants	563	563		563
Common stock issuance	29	29		29
Common stock issuance (in shares)			2,205
Non-controlling Interest - NEPTCO joint venture	1,594						1,594
Excess tax benefit (expense) from stock based compensation	209	209		209
Common stock retained to pay statutory minimum withholding taxes on common stock	(813)	(813)	(5)	(808)
Common stock retained to pay statutory minimum withholding taxes on common stock (in shares)			(51,668)
Cash dividend paid, $0.45, $0.40 and $0.35 per share for the year ended 2014, 2013 and 2012, respectively	(3,165)	(3,165)				(3,165)
Change in funded status of pension plan, net of tax of $796, $281 and $297 for the year ended 2014, 2013 and 2012, respectively	(493)	(493)			(493)
Foreign currency translation adjustment	(904)	(904)			(904)
Net unrealized gain on restricted investments, net of tax of $38, $20 and $20 for the year ended 2014, 2013 and 2012, respectively	33	33			33
Net income	9,264	9,338				9,338	(74)
Balance at Aug. 31, 2012	99,645	98,125	900	12,109	(5,030)	90,146	1,520
Balance (in shares) at Aug. 31, 2012			9,001,582
Increase (Decrease) in Stockholders' Equity
Restricted stock grants, net of forfeitures			7	(7)
Restricted stock grants, net of forfeitures (in shares)			71,801
Amortization of restricted stock grants	1,145	1,145		1,145
Amortization of stock option grants	466	466		466
Common stock issuance	10	10	0	10
Common stock issuance (in shares)			566
Exercise of stock options	562	562	5	557
Exercise of stock options (in shares)			49,042
Common stock received for payment of stock option exercises	(488)	(488)	(2)	(486)
Common stock received for payment of stock option exercises (in shares)			(20,284)
Excess tax benefit (expense) from stock based compensation	622	622		622
Common stock retained to pay statutory minimum withholding taxes on common stock	(1,083)	(1,083)	(3)	(1,080)
Common stock retained to pay statutory minimum withholding taxes on common stock (in shares)			(36,592)
Cash dividend paid, $0.45, $0.40 and $0.35 per share for the year ended 2014, 2013 and 2012, respectively	(3,626)	(3,626)				(3,626)
Change in funded status of pension plan, net of tax of $796, $281 and $297 for the year ended 2014, 2013 and 2012, respectively	201	201			201
Foreign currency translation adjustment	(419)	(419)			(419)
Net unrealized gain on restricted investments, net of tax of $38, $20 and $20 for the year ended 2014, 2013 and 2012, respectively	85	85			85
Net income	16,740	17,214				17,214	(474)
Balance at Aug. 31, 2013	113,860	112,814	907	13,336	(5,163)	103,734	1,046
Balance (in shares) at Aug. 31, 2013			9,066,115
Increase (Decrease) in Stockholders' Equity
Restricted stock grants, net of forfeitures			3	(3)
Restricted stock grants, net of forfeitures (in shares)			32,851
Amortization of restricted stock grants	857	857		857
Amortization of stock option grants	239	239		239
Exercise of stock options	1,615	1,615	11	1,604
Exercise of stock options (in shares)			114,872
Common stock received for payment of stock option exercises	(1,550)	(1,550)	(5)	(1,545)
Common stock received for payment of stock option exercises (in shares)			(47,121)
Excess tax benefit (expense) from stock based compensation	1,324	1,324		1,324
Common stock retained to pay statutory minimum withholding taxes on common stock	(2,198)	(2,198)	(6)	(2,192)
Common stock retained to pay statutory minimum withholding taxes on common stock (in shares)			(63,425)
Cash dividend paid, $0.45, $0.40 and $0.35 per share for the year ended 2014, 2013 and 2012, respectively	(4,093)	(4,093)				(4,093)
Change in funded status of pension plan, net of tax of $796, $281 and $297 for the year ended 2014, 2013 and 2012, respectively	(1,207)	(1,207)			(1,207)
Foreign currency translation adjustment	2,055	2,055			2,055
Net unrealized gain on restricted investments, net of tax of $38, $20 and $20 for the year ended 2014, 2013 and 2012, respectively	65	65			65
Net income	26,523	26,631				26,631	(108)
Balance at Aug. 31, 2014	$ 137,490	$ 136,552	$ 910	$ 13,620	$ (4,250)	$ 126,272	$ 938
Balance (in shares) at Aug. 31, 2014			9,103,292

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CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) In Thousands, except Share data, unless otherwise specified	Aug. 31, 2014	Aug. 31, 2013
CONSOLIDATED BALANCE SHEETS
Accounts receivable, allowance for doubtful accounts (in dollars)	$ 670	$ 696
Intangible assets, accumulated amortization (in dollars)	$ 22,941	$ 17,554
First Serial Preferred Stock, par value (in dollars per share)	$ 1.00	$ 1.00
First Serial Preferred Stock, Authorized shares	100,000	100,000
First Serial Preferred Stock, issued shares	0	0
Common stock, par value (in dollars per share)	$ 0.10	$ 0.10
Common stock, Authorized shares	20,000,000	20,000,000
Common stock, shares issued	9,103,292	9,066,115
Common stock, shares outstanding	9,103,292	9,066,115

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Capital and Operating Leases

12 Months Ended

Aug. 31, 2014

Capital and Operating Leases

Capital and Operating Leases

Note 8—Capital and Operating Leases

        The Company is obligated under various capital and operating leases, primarily for real property and equipment. Future minimum lease payments under non-cancelable operating leases (with initial or remaining lease terms in excess of one year), and the present value of future minimum capital lease payments as of August 31, 2014, are as follows:

Year ending August 31,	Future Capital Lease Payments			Future Operating Lease Payments
2015	$	43		$	740
2016		34			742
2017		9			737
2018		—			706
2019		—			702
2020 and thereafter		—			3,148
Total future minimum lease payments	$	86		$	6,775
Less: interest (at rates ranging from 4% to 8%)		(8	)
	$	78
Less: current portion		(38	)
	$	40

        Total rental expense for all operating leases amounted to $1,577, $1,761 and $1,178 for the years ended August 31, 2014, 2013 and 2012, respectively.

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Document and Entity Information (USD $)	12 Months Ended
	Aug. 31, 2014	Oct. 31, 2014	Feb. 28, 2014
Document and Entity Information
Entity Registrant Name	CHASE CORP
Entity Central Index Key	0000830524
Document Type	10-K
Document Period End Date	Aug. 31, 2014
Amendment Flag	false
Current Fiscal Year End Date	--08-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Public Float			$ 203,473,000
Entity Common Stock, Shares Outstanding		9,129,427
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	FY

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Benefits and Pension Plans

12 Months Ended

Aug. 31, 2014

Benefits and Pension Plans

Benefits and Pension Plans

Note 9—Benefits and Pension Plans

401(k) Plan

        The Company has a defined contribution plan adopted pursuant to Section 401(k) of the Internal Revenue Code of 1986. Any qualified employee who has attained age 21 and has been employed by the Company for at least six months may contribute a portion of his or her salary to the plan and the Company will match 100% of the first one percent of salary contributed and 50% thereafter, up to an amount equal to three and one half percent of such employee's annual salary.

        NEPTCO has two 401(k) savings plans, one for union employees and one for non-union employees. Under these plans, substantially all employees of NEPTCO are eligible to participate by making before-tax contributions to these plans. Participants may elect to defer between 1% and 10% of their annual compensation. The Company may contribute $0.75 for each $1.00 of participant deferrals up to 3% of the non-union participant's compensation. The Company may match union employee contributions by $0.50 for each $1.00 of participant deferrals up to 3% of the participant's compensation.

        The Company's contribution expense for all 401(k) plans was $392, $351 and $294 for the years ended August 31, 2014, 2013 and 2012, respectively.

Non-Qualified Deferred Savings Plan

        The Company has a non-qualified deferred savings plan covering the Board of Directors and a separate plan covering selected employees. Participants may elect to defer a portion of their compensation for future payment. The plans are funded by trusteed assets that are restricted to the payment of deferred compensation or satisfaction of the Company's general creditors. The Company's liability under the plan was $1,256 and $1,094 at August 31, 2014 and 2013, respectively.

Pension Plans

        The Company has non-contributory defined benefit pension plans covering employees of certain divisions of the Company. The Company has a funded, qualified plan ("Qualified Plan") and an unfunded supplemental plan ("Supplemental Plan") designed to maintain benefits for certain employees at the plan formula level. The plans provide for pension benefits determined by a participant's years of service and final average compensation. The Qualified Plan assets consist of separate pooled investment accounts with a trust company. The measurement date for the plans is August 31, 2014.

        Effective December 1, 2008, a soft freeze in the Qualified Plan was adopted whereby no new employees hired will be admitted to the Qualified Plan, with the exception of the International Association of Machinists and Aerospace Workers Union whose contract was amended in June 2012 to include a soft freeze with an effective date of July, 15, 2012. All eligible participants who were previously admitted to the plan prior to the applicable soft freeze dates will continue to accrue benefits as detailed in the plan agreements.

        NEPTCO has a defined benefit pension plan ("NEPTCO Pension Plan") covering substantially all of its union employees at its Pawtucket facility. This plan was frozen effective October 31, 2006, and as a result, no new participants can enter the plan and the benefits of current participants were frozen as of that date. The benefits are based on years of service and the employee's average compensation during the earlier of five years before retirement, or October 31, 2006. The NEPTCO Pension Plan assets consist of separate pooled investment accounts with a trust company. The measurement date for the NEPTCO Pension Plan is August 31, 2014.

        The following tables reflect the status of the Company's pension plans for the years ended August 31, 2014, 2013 and 2012:

	Year Ended August 31,
	2014			2013			2012
Change in benefit obligation
Projected benefit obligation at beginning of year	$	15,651		$	17,322		$	13,953
Acquired benefit obligation for Neptco pension plan		—			—			1,806
Service cost		323			352			482
Interest cost		643			503			532
Actuarial loss		2,933			1,019			1,908
Curtailments		—			24			—
Settlements		(1,233	)		(3,443	)		(1,316	)
Benefits paid		(38	)		(126	)		(43	)
Projected benefit obligation at end of year	$	18,279		$	15,651		$	17,322
Change in plan assets
Fair value of plan assets at beginning of year	$	8,826		$	9,405		$	7,235
Fair value of Neptco pension plan assets		—			—			884
Actual return on plan assets		996			690			752
Employer contribution		267			2,300			1,893
Settlements		(1,233	)		(3,443	)		(1,316	)
Benefits paid		(38	)		(126	)		(43	)
Fair value of plan assets at end of year	$	8,818		$	8,826		$	9,405
Funded status at end of year	$	(9,461	)	$	(6,825	)	$	(7,917	)
Amounts recognized in consolidated balance sheets
Non-current assets	$	962		$	1,014		$	—
Current liabilities		(5	)		(5	)		(215	)
Non-current liabilities		(10,418	)		(7,834	)		(7,702	)
Net amount recognized in Consolidated Balance Sheets	$	(9,461	)	$	(6,825	)	$	(7,917	)
Actuarial present value of benefit obligation and funded status
Accumulated benefit obligations	$	16,362		$	13,842		$	14,735
Projected benefit obligations	$	18,279		$	15,651		$	17,322
Plan assets at fair value	$	8,818		$	8,826		$	9,405
Amounts recognized in accumulated other comprehensive Income
Prior service cost	$	64		$	67		$	82
Net actuarial loss		7,567			5,561			6,029
Adjustment to pre-tax accumulated other comprehensive income	$	7,631		$	5,628		$	6,111
Other changes in plan assets and benefit obligations recognized in other comprehensive income
Net loss	$	2,647		$	979		$	1,691
Amortization of loss		(293	)		(250	)		(276	)
Amortization of prior service cost		(3	)		(13	)		(74	)
Effect of settlement on accumulated other comprehensive income		(348	)		(1,198	)		(550	)
Total recognized in other comprehensive income		2,003			(482	)		791
Net periodic pension cost		900			1,690			1,378
Total recognized in net periodic pension cost and other comprehensive income	$	2,903		$	1,208		$	2,169
Estimated amounts that will be amortized from accumulated comprehensive income over the next fiscal year
Prior service cost	$	3		$	3		$	14
Net actuarial loss		307			293			337

        Prior service cost arose from the amendment of the plan's benefit schedules to comply with the Tax Reform Act of 1986 and adoption of the unfunded supplemental pension plan.

        Components of net periodic pension cost for the fiscal years ended August 31, 2014, 2013 and 2012 included the following:

	Year Ended August 31,
	2014			2013			2012
Components of net periodic benefit cost
Service cost	$	323		$	352		$	482
Interest cost		643			503			532
Expected return on plan assets		(710	)		(651	)		(536	)
Amortization of prior service cost		3			13			74
Amortization of accumulated loss		293			250			276
Settlement and curtailment loss		348			1,223			550
Net periodic benefit cost	$	900		$	1,690		$	1,378

        Weighted-average assumptions used to determine benefit obligations as of August 31, 2014, 2013 and 2012 are as follows:

	2014			2013			2012
Discount rate
Qualified plan		3.83	%		4.54	%		3.40	%
Supplemental plan		3.01	%		3.76	%		3.14	%
Neptco plan		4.06	%		4.63	%		3.77	%
Rate of compensation increase
Qualified and supplemental plan		3.50	%		3.50	%		3.50	%
Neptco plan		0.00	%		0.00	%		0.00	%

        Weighted-average assumptions used to determine net periodic benefit cost for the years ended August 31, 2014, 2013 and 2012 are as follows:

	2014			2013			2012
Discount rate
Qualified plan		4.54	%		3.40	%		4.73	%
Supplemental plan		3.76	%		3.14	%		3.00	%
Neptco plan		4.63	%		3.77	%		4.08	%
Expected long-term return on plan assets
Qualified plan		8.00	%		8.00	%		8.00	%
Supplemental plan		0.00	%		0.00	%		0.00	%
Neptco plan		8.00	%		8.00	%		8.00	%
Rate of compensation increase
Qualified and supplemental plan		3.50	%		3.50	%		3.50	%
Neptco plan		0.00	%		0.00	%		0.00	%

        It is the Company's policy to evaluate, on an annual basis, the discount rate used to determine the projected benefit obligation to approximate rates on high-quality, long-term obligations. The Moody's Corporate Aa Bond index has generally been used as a benchmark for this purpose, with adjustments made if the duration of the index differed from that of the plan. For periods since August 31, 2008, the discount rate has been determined by matching the expected payouts from the respective plans to the spot rates inherent in the Citigroup Pension Discount Curve. A single rate is then developed, that when applied to the expected cash flows, results in the same present value as determined using the various spot rates. The Company believes that this approach produces the most appropriate approximation of the plan liability.

        The Company estimates that for each 100 basis point reduction in the discount rate would result in additional net periodic pension cost, the Company's primary pension obligation, of approximately $81 for the Qualified Plan and $3 for the Supplemental Plan. For the current fiscal year, the NEPTCO Pension Plan expense is insignificant so sensitivity disclosure is not presented. The expected return on plan assets is derived from a periodic study of long-term historical rates of return on the various asset classes included in the Company's targeted pension plan asset allocation. The Company estimates that each 100 basis point reduction in the expected return on plan assets would result in additional net periodic pension cost of approximately $76 for the Qualified Plan. No rate of return is assumed for the Supplemental Plan since that plan is currently not funded. The rate of compensation increase is also evaluated and is adjusted by the Company, if necessary, periodically.

Qualified Plan Assets

        The investment policy for the Qualified Plan is based on ERISA standards for prudent investing. The fundamental goal underlying the investment policy is to ensure that the assets of the plans are invested in a prudent manner to meet the obligations of the plans as these obligations come due. The primary investment objectives include providing a total return which will promote the goal of benefit security by attaining an appropriate ratio of plan assets to plan obligations, to provide for real asset growth while also tracking plan obligations, to diversify investments across and within asset classes, to reduce the impact of losses in single investments, and to follow investment practices that comply with applicable laws and regulations.

        The primary policy objectives will be met by investing assets to achieve a reasonable tradeoff between return and risk relative to the plans' obligations. This includes investing a portion of the assets in funds selected in part to hedge the interest rate sensitivity to plan obligations.

        The Qualified Plan assets are invested in a diversified mix of United States equity and fixed income securities. Asset manager performance is reviewed at least annually and benchmarked against the peer universe for the given investment style. The Company's expected return for the Qualified Plan is 8.0%. To determine the expected long-term rate of return on the assets for the Qualified Plan, the Company considered the historical and expected return on the plan assets, as well as the current and expected allocation of the plan assets.

        Asset allocation is monitored on an ongoing basis relative to the established asset class targets. The interaction between plan assets and benefit obligations is periodically studied to assist in the establishment of strategic asset allocation targets. The investment policy permits variances from the targets within certain parameters. Asset rebalancing occurs when the underlying asset class allocations move outside these parameters at which time the asset allocation is rebalanced back to the policy target weight.

        The Qualified Plan has the following target allocation and weighted-average asset allocations as of August 31, 2014, 2013 and 2012:

		Percentage of Plan Assets as of August 31,
	Target Allocation Range
Asset Category		2014	2013	2012
Equity securities	40-70%	43%	56%	54%
Debt securities	20-50%	51%	40%	39%
Real estate	0-15%	0%	4%	5%
Other	0-10%	6%	0%	2%
Total	100%	100%	100%	100%

NEPTCO Pension Plan Assets

        The investment policy for the NEPTCO Pension Plan is based on ERISA standards for prudent investing. The fundamental goal underlying the investment policy is to ensure that the assets of the plans are invested in a prudent manner to meet the obligations of the plan as these obligations come due. The primary investment objectives include maximization of return within reasonable and prudent levels of risk, provision of returns comparable to returns for similar investment options, provision of exposure to a wide range of investment opportunities in various asset classes and vehicles, control administrative and management costs, provision of appropriate diversification within investment vehicles, and govern investment manager's adherence to stated investment objectives and style.

        The primary policy objectives will be met by investing assets to achieve a reasonable tradeoff between return and risk relative to the plans' obligations. This includes investing a portion of the assets in funds selected in part to hedge the interest rate sensitivity to plan obligations.

        The NEPTCO Pension Plan assets are invested in a diversified mix of fixed income, and both domestic and foreign equity investments. The ongoing monitoring of investments is a regular and disciplined process and confirms that the criteria remain satisfied. The process of monitoring investment performance relative to specified guidelines is consistently applied.

        The Company's expected return for the NEPTCO Pension Plan is 8.0%. To determine the expected long-term rate of return on the assets for the NEPTCO Pension Plan, the Company considered the historical and expected return on the plan assets, as well as the current and expected allocation of the plan assets.

        The NEPTCO Pension Plan has the following target allocation and weighted-average asset allocations as of August 31, 2014, 2013 and 2012:

		Percentage of Plan Assets as of August 31,
	Target Allocation Range
Asset Category		2014		2013		2012
Equity securities	20-65%		30%		56%		50%
Debt securities	35-80%		60%		44%		50%
Other	0-10%		10%		0%		0%
Total	100%		100%		100%		100%

Fair Market Value of Pension Plan Assets

        The Company is required to categorize pension plan assets using a three-tier fair value hierarchy, which classifies the inputs used in measuring fair values. These tiers include: Level 1, defined as observable inputs such as quoted prices for identical instruments in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.

        The following table presents the Company's pension plan assets at August 31, 2014 and 2013 by asset category:

			Fair value measurements at August 31, 2014:								Fair value measurements at August 31, 2013:
	August 31, 2014		Quoted prices in active markets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)		August 31, 2013		Quoted prices in active markets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)
Asset Category
Equity securities	$	3,629	$	3,629	$	—	$	—	$	4,939	$	4,056	$	883	$	—
Debt securities		4,610		4,610		—		—		3,553		2,795		758		—
Real estate		—		—		—		—		334		—		334		—
Other		579		579		—		—		—		—		—		—
Total	$	8,818	$	8,818	$	—	$	—	$	8,826	$	6,851	$	1,975	$	—

        Level 1 Assets: The fair values of the common stocks, corporate bonds and U.S. Government securities included in this tier are based on the closing price reported on the active market where the individual securities are traded.

        Level 2 Assets: The fair values of the common/collective trust funds included in this tier are not traded on active markets. These common/collective trust funds are valued based on the calculated unit values. The unit values are based on the fair value of the underlying assets of the common/collective trust funds derived from inputs principally based on quoted market prices in an active market or corroborated by observable market data by correlation or other means.

Estimated Future Benefit Payments

        The following pension benefit payments (which include expected future service) are assumed to be paid in each of the following fiscal years based on the participants' normal retirement age:

Year ending August 31,	Pension Benefits
2015	$	9,628
2016		302
2017		358
2018		630
2019		405
2020-2024	$	2,657

        The Company contributed $267, $2,300 and $1,893 to fund its obligations under the pension plans for the years ended August 31, 2014, 2013 and 2012, respectively. The Company's pension plans are fully funded as of August 31, 2014 and there are no required contributions currently for fiscal 2015. If a contribution should be required, the Company plans to make the necessary contributions during fiscal 2015 to ensure its pension plans continue to be adequately funded given the current market conditions.

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Acquisitions (Details 2) (NEPTCO, USD $) In Thousands, unless otherwise specified	0 Months Ended
	Jun. 27, 2012
Acquisitions
Total intangible assets	$ 23,165
Customer Relationships
Acquisitions
Total intangible assets	15,330
Useful life	10 years
Trade names
Acquisitions
Total intangible assets	4,988
Useful life	6 years
Technology
Acquisitions
Total intangible assets	2,267
Useful life	8 years
Backlog
Acquisitions
Total intangible assets	20
Useful life	4 months
Prepaid patent costs
Acquisitions
Total intangible assets	$ 560
Useful life	10 years

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CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) In Thousands, except Share data, unless otherwise specified	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Revenues
Sales	$ 221,034	$ 213,648	$ 146,494
Royalties and commissions	2,972	2,414	2,425
Total revenues	224,006	216,062	148,919
Costs and Expenses
Cost of products and services sold	145,193	146,035	101,249
Selling, general and administrative expenses	42,640	43,236	30,172
Acquisition related costs			3,206
Operating income	36,173	26,791	14,292
Interest expense	(1,143)	(1,294)	(398)
Gain on sale of product line (Note 18)	5,706
Other (expense) income	(246)	313	102
Income before income taxes	40,490	25,810	13,996
Income taxes	13,967	9,070	4,732
Net income	26,523	16,740	9,264
Add: net loss attributable to non-controlling interest	108	474	74
Net income attributable to Chase Corporation	$ 26,631	$ 17,214	$ 9,338
Net income available to common shareholders, per common and common equivalent share
Basic (in dollars per share)	$ 2.92	$ 1.90	$ 1.03
Diluted (in dollars per share)	$ 2.86	$ 1.87	$ 1.03
Weighted average shares outstanding
Basic (in shares)	8,952,026	8,860,972	8,761,262
Diluted (in shares)	9,165,666	8,978,438	8,786,750

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Property, Plant and Equipment

12 Months Ended

Aug. 31, 2014

Property, Plant and Equipment

Property, Plant and Equipment

Note 3—Property, Plant and Equipment

        Property, plant and equipment consist of the following as of August 31, 2014 and 2013:

	2014			2013
Property, Plant and Equipment
Land and improvements	$	5,770		$	5,719
Buildings		21,259			20,943
Machinery and equipment		49,045			44,284
Leasehold improvements		2,091			2,034
Construction in progress		2,378			3,763
		80,543			76,743
Accumulated depreciation		(36,458	)		(31,551	)
Property, plant and equipment, net	$	44,085		$	45,192

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Inventories

12 Months Ended

Aug. 31, 2014

Inventories

Inventories

Note 2—Inventories

        Inventories consist of the following as of August 31, 2014 and 2013:

	2014		2013
Raw materials	$	13,785	$	14,545
Work in process		7,359		5,967
Finished goods		10,395		11,536
Total Inventories	$	31,539	$	32,048

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Acquisitions

12 Months Ended

Aug. 31, 2014

Acquisitions

Acquisitions

Note 14—Acquisitions

NEPTCO Incorporated

        In the fourth quarter of fiscal 2012, Chase acquired 100% of the capital stock of NEPTCO, a private company based in Pawtucket, RI, whose core products are sold primarily into the broadband communications and electronics packaging industries. NEPTCO operates three manufacturing facilities in the United States and one in China, as well as utilizing distribution facilities in Rotterdam, Netherlands and Mississauga, Ontario to assist in supply chain management. As part of this transaction, the Company also acquired NEPTCO's 50% ownership stake in a joint venture.

        The total acquisition cost, net of cash received, was $62,217, subject to the finalization of purchase accounting, which was completed in the fourth quarter of fiscal 2013 and did not have a significant impact on the financial statements of the Company. The acquisition was funded through a five year term debt bank financing arrangement led and arranged by Bank of America, with participation from RBS Citizens.

        The effective date for this acquisition was June 27, 2012 and the results of this acquisition have been included in the Company's financial statements since then. The acquisition was accounted for as a business combination under ASC Topic 805, "Business Combinations." In accordance with this accounting standard, the Company expensed $3,206 of acquisition related costs during the year ended August 31, 2012.

        The acquisition cost has been allocated to the acquired tangible and identifiable intangible assets and liabilities assumed based on their fair values as of the date of the acquisition:

Assets & Liabilities	Amount
Current assets (net of cash acquired)	$	24,948
Property, plant & equipment		18,657
Goodwill		19,668
Intangible assets		23,165
Accounts payable and accrued liabilities		(10,841	)
Long term liabilities		(736	)
Deferred tax liabilities		(11,051	)
Non-controlling interest of joint venture partner		(1,593	)
Total purchase price	$	62,217

        The excess of the purchase price over the net tangible and intangible assets acquired resulted in goodwill of $19,668 that is largely attributable to the synergies and economies of scale from combining the operations and technologies of Chase and NEPTCO, particularly as it pertains to the expansion of the Company's product and service offerings, the established workforce, and marketing efforts. This goodwill is not deductible for income tax purposes.

        All assets, including goodwill, acquired as part of NEPTCO are included in the Industrial Materials segment. Identifiable intangible assets purchased with this transaction are as follows:

Intangible Asset	Amount		Useful life
Customer Relationships	$	15,330	10 years
Trade names		4,988	6 years
Technology		2,267	8 years
Backlog		20	4 months
Prepaid patent costs		560	10 years (1)
Total intangible assets	$	23,165

(1)

To be amortized once placed in service

        All acquisitions have been accounted for as purchase transactions and the operations of the acquired entity or assets are included in consolidated operations from the effective date.

Acquisition of outstanding non-controlling membership interest in NEPTCO JV LLC

        On October 31, 2014, the Company purchased the 50% non-controlling membership interest of NEPTCO JV LLC (the "JV") owned by its now-former joint venture partner, an otherwise unrelated party. The purchase consideration due at the time of closing was not deemed to be material to the Company, and is subject to certain contingent adjustments based on certain future events related to the JV. The Company does not believe that these contingent adjustments will be material to the Company. The purchase was funded entirely with available cash on hand. Because of the Company's controlling financial interest, the JV's assets, liabilities and results of operations have been consolidated within the Company's consolidated financial statements since June 27, 2012, the date the Company acquired NEPTCO. Given the Company's 100% ownership as of October 31, 2014, in subsequent periods the Company will continue to fully consolidate assets, liabilities and results of operations, but will no longer record an offsetting amount for a non-controlling interest. See Note 15 for additional information on the JV.

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Stockholders' Equity

12 Months Ended

Aug. 31, 2014

Stockholders' Equity

Stockholders' Equity

Note 10—Stockholders' Equity

2013 Equity Incentive Plan

        In October 2012, the Company adopted and the stockholders subsequently approved the 2013 Equity Incentive Plan (the "2013 Plan"). The 2013 Plan permits the grant of restricted stock, stock options, deferred stock, stock payments or other awards to employees, participating officers, directors, consultants and advisors who are linked directly to increases in shareholder value. The aggregate number of shares available for grant under the 2013 Plan is 1,200,000. Additional shares may become available in connection with share splits, share dividends or similar transactions. As of August 31, 2014, the Company had not yet made any awards under the 2013 Plan.

2005 Incentive Plan

        In November 2005, the Company adopted and the stockholders subsequently approved the 2005 Incentive Plan (the "2005 Plan"). The 2005 Plan permits the grant of restricted stock, stock options, deferred stock, stock payments or other awards to employees, participating officers, directors, consultants and advisors who are linked directly to increases in shareholder value. The aggregate number of shares available for grant under the 2005 Plan was initially 1,000,000. Additional shares may become available in connection with share splits, share dividends or similar transactions. As of August 31, 2014, 67,007 shares remained available for future grant under the 2005 Plan.

2001 Senior Management Stock Plan and 2001 Non-Employee Director Stock Option Plan

        In October 2002, the Company adopted, and the stockholders subsequently approved, the 2001 Senior Management Stock Plan and the 2001 Non-Employee Director Stock Option Plan (the "2001 Plans"). The 2001 Plans reserved 1,500,000 and 180,000 shares of the Company's common stock for grants related to the Senior Management Stock Plan and Non-Employee Director Stock Option Plan, respectively.

        Under the terms of the Senior Management Stock Plan, equity awards may be granted in the form of incentive stock options, non-qualified stock options and restricted stock. Options granted under the Non-Employee Director Stock Option Plan were issued as non-qualified stock options. Options granted under the 2001 Plans generally vest over a period ranging from three to five years and expire after ten years.

        The Company is no longer granting equity awards under the 2001 Plans.

Restricted Stock

Employees and Executive Management

        In August 2009, the Board of Directors of Chase Corporation approved a plan for issuing a performance and service based restricted stock grant of 76,874 shares in the aggregate, subject to adjustment, to key members of management with an issue date of September 1, 2009 and a vesting date of August 31, 2012. Based on the fiscal year 2010 financial results, 68,453 additional shares of restricted stock were earned and granted subsequent to the end of fiscal year 2010 in accordance with the performance measurement criteria. The adjusted restricted stock award of 145,327 shares was issued in the form of common stock on August 31, 2012 upon vesting. Compensation expense was recognized on a ratable basis over the vesting period.

        In December 2009, restricted stock in amounts of 2,377 and 8,421 shares related to the September 2008 and 2009 grants, respectively, were forfeited in conjunction with the retirement of an executive officer of the Company.

        In August 2010, the Board of Directors of the Company approved the fiscal year 2011 Long Term Incentive Plan ("LTIP") for the executive officers. The fiscal 2011 LTIP is an equity based plan with a grant date of September 1, 2010. In addition to the stock option component described below, the plan contained the following restricted stock components: (a) a performance and service based restricted stock grant of 32,835 shares in the aggregate, subject to adjustment, with a vesting date of August 31, 2013, for which compensation expense was recognized on a ratable basis over the vesting period based on quarterly probability assessments; and (b) a time-based restricted stock grant of 16,417 shares in the aggregate, and a vesting date of August 31, 2013, for which compensation expense was recognized on a ratable basis over the vesting period.

        Based on the fiscal year 2011 financial results, 32,835 additional shares of restricted stock (total of 65,670 shares) were earned and granted subsequent to the end of fiscal year 2011 in accordance with the performance measurement criteria. No further performance-based measurements apply to this award.

        In April 2011, the Board of Directors of the Company approved a plan for issuing a time-based restricted stock grant of 4,249 shares in the aggregate to certain non-executive officer employees, with an issue date of April 30, 2011 and a vesting date of April 30, 2014. Compensation expense is being recognized on a ratable basis over the vesting period.

        In August 2011, the Board of Directors of the Company approved the fiscal year 2012 LTIP for the executive officers. The fiscal 2012 LTIP is an equity based plan with a grant date of September 1, 2011. In addition to the stock option component described below, the plan contained the following restricted stock components: (a) a performance and service based restricted stock grant of 33,798 shares in the aggregate, subject to adjustment, with a vesting date of August 31, 2014, for which compensation expense is recognized on a ratable basis over the vesting period based on quarterly probability assessments; and (b) a time-based restricted stock grant of 16,899 shares in the aggregate, and a vesting date of August 31, 2014, for which compensation expense is recognized on a ratable basis over the vesting period.

        Based on the fiscal year 2012 financial results, 33,798 additional shares of restricted stock (total of 67,596 shares) were earned and granted subsequent to the end of fiscal year 2012 in accordance with the performance measurement criteria. No further performance-based measurements apply to this award.

        In August 2011, the Board of Directors of the Company approved a plan for issuing a time-based restricted stock grant of 5,037 shares in the aggregate to certain non-executive officer employees, with an issue date of September 1, 2011 and a vesting date of August 31, 2014. Compensation expense is being recognized on a ratable basis over the vesting period.

        In December 2011, restricted stock in the amount of 1,887 shares related to the April 2011 grant was forfeited in conjunction with the termination of employment of a non-executive officer of the Company.

        In March 2012, the Board of Directors of the Company approved a plan for issuing a time-based restricted stock grant of 1,368 shares to a non-executive officer employee, with an issue date of March 8, 2012 and a vesting date of August 31, 2012. Compensation expense was recognized on a ratable basis over the vesting period.

        In October 2012, the Board of Directors of the Company approved the fiscal year 2013 LTIP for the executive officers and other members of management. The 2013 LTIP is an equity based plan with a grant date of October 22, 2012. In addition to the stock option component described below, the plan contained the following restricted stock components: (a) a performance and service based restricted stock grant of 11,861 shares in the aggregate, subject to adjustment, with a vesting date of August 31, 2014, for which compensation expense is recognized on a ratable basis over the vesting period based on quarterly probability assessments; and (b) a time-based restricted stock grant of 16,505 and 1,931 shares in the aggregate, with a vesting date of August 31, 2015 and August 31, 2013, respectively, for which compensation expense is recognized on a ratable basis over the vesting period.

        Based on the fiscal year 2013 financial results, 11,861 additional shares of restricted stock (total of 23,722 shares) were earned and granted subsequent to the end of fiscal year 2013 in accordance with the performance measurement criteria. No further performance-based measurements apply to this award.

        In September 2013, the Board of Directors of the Company approved the fiscal year 2014 LTIP for the executive officers and other members of management. The 2014 LTIP is an equity based plan with a grant date of September 1, 2013. In addition to the stock option component described below, the plan contained the following restricted stock components: (a) performance and service-based restricted stock grant of 7,529 shares in the aggregate, subject to adjustment, with a vesting date of August 31, 2016, for which compensation expense is recognized on a ratable basis over the vesting period based on quarterly probability assessments; and (b) a time-based restricted stock grant of 8,323 and 1,040 shares in the aggregate, with vesting dates of August 31, 2016 and August 31, 2014, respectively, for which compensation expense is recognized on a ratable basis over the vesting period.

Non-Employee Board of Directors

        In February 2011, non-employee members of the Board received a total grant of 11,031 shares of restricted stock for service for the period from January 31, 2011 through January 31, 2012. The shares of restricted stock vested at the conclusion of this service period. Compensation was recognized on a ratable basis over the twelve month vesting period.

        In February 2012, non-employee members of the Board received a total grant of 10,085 shares of restricted stock for service for the period from January 31, 2012 through January 31, 2013. The shares of restricted stock vested at the conclusion of the service period. Compensation was recognized on a ratable basis over the twelve month vesting period.

        Beginning in 2013, the annual retainer for non-employee members of the Board of Directors includes a combined total of $144 of Chase Corporation common stock, in the form of restricted stock valued in conjunction with the start of the new year of board service which generally coincides with the Company's annual shareholder meeting. The stock award vests one year from the date of grant. In February 2013, non-employee members of the Board received a total grant of 7,706 shares of restricted stock for service for the period from January 31, 2013 through January 31, 2014. The shares of restricted stock vested at the conclusion of this service period. Compensation was recognized on a ratable basis over the twelve month vesting period.

        In February 2014, non-employee members of the Board received a total grant of 4,878 shares of restricted stock for service for the period from January 31, 2014 through January 31, 2015. The shares of restricted stock will vest at the conclusion of this service period. Compensation is being recognized on a ratable basis over the twelve month vesting period.

Stock Options

        In April 2011, the Board of Directors of the Company authorized a grant of stock options to certain non-executive officer employees to purchase 15,201 shares of common stock in the aggregate with an exercise price of $16.53 per share. The options vested in three equal annual allotments beginning on April 30, 2012 and ending on April 30, 2014. The options will expire on April 30, 2021. Compensation expense was recognized over the period of the award on an annual basis consistent with the vesting terms.

        In August 2011, the Board of Directors of the Company approved the fiscal year 2012 LTIP for the executive officers. The fiscal 2012 LTIP is an equity based plan with a grant date of September 1, 2011 and included options to purchase 59,493 shares of common stock in the aggregate. Each of these options has an exercise price of $12.77 per share, and vested in three equal annual allotments beginning on August 31, 2012 and ending on August 31, 2014. The options will expire on August 31, 2021. Compensation expense was recognized over the period of the award on an annual basis consistent with the vesting terms.

        In August 2011, the Board of Directors of the Company authorized a grant of stock options with a grant date of September 1, 2011 to certain non-executive officer employees to purchase 20,883 shares of common stock in the aggregate with an exercise price of $12.77 per share. The options vested in three equal annual allotments beginning on August 31, 2012 and ending on August 31, 2014. The options will expire on August 31, 2021. Compensation expense was recognized over the period of the award on an annual basis consistent with the vesting terms.

        In March 2012, the Board of Directors of the Company authorized a grant of stock options to a non-executive officer employee to purchase 6,630 shares of common stock with an exercise price of $14.62 per share. The options will vest in three equal annual allotments beginning on March 8, 2013 and ending on March 8, 2015. The options will expire on March 8, 2022. Compensation expense is being recognized over the period of the award on an annual basis consistent with the vesting terms.

        In October 2012, the Board of Directors of the Company approved the fiscal year 2013 LTIP for the executive officers and other members of management. The 2013 LTIP is an equity based plan with a grant date of October 22, 2012 and included options to purchase 43,964 shares of common stock in the aggregate with an exercise price of $16.00 per share. The options will vest in three equal annual allotments beginning on August 31, 2013 and ending on August 31, 2015. The options will expire on October 22, 2022. Compensation expense is being recognized over the period of the award on an annual basis consistent with the vesting terms.

        In September 2013, the Board of Directors of the Company approved the fiscal year 2014 LTIP for the executive officers and other members of management. The 2014 LTIP is an equity-based plan with a grant date of September 1, 2013 and included options to purchase 25,969 shares of common stock in the aggregate with an exercise price of $29.72 per share. The options will vest in three equal annual allotments beginning on August 31, 2014 and ending on August 31, 2016. The options will expire on August 31, 2023. Compensation expense is recognized over the period of the award on an annual basis consistent with the vesting terms.

        The following table summarizes information about stock options outstanding as of August 31, 2014:

	Options Outstanding								Options Exercisable
Exercise Prices	Number Outstanding		Weighted Avg. Remaining Contractual Life		Weighted Average Exercise Price		Aggregate Intrinsic Value		Number Exercisable		Weighted Average Exercise Price		Aggregate Intrinsic Value
$11.15		56,250		5.0 years	$	11.15	$	1,370		56,250	$	11.15	$	1,370
$12.70		62,425		6.0 years		12.70		1,424		62,425		12.70		1,423
$12.77		74,130		7.0 years		12.77		1,685		47,333		12.77		1,076
$14.62		4,420		7.5 years		14.62		92		—		14.62		—
$16.00		43,964		8.1 years		16.00		857		14,655		16.00		286
$16.53		196,743		4.0 years		16.53		3,732		196,743		16.53		3,732
$29.72		25,969		9.0 years		29.72		150		—		29.72		—
		463,901		5.6 years	$	15.43	$	9,310		377,406	$	14.60	$	7,887

        All stock option plans have been approved by the Company's stockholders. Options are granted with an exercise price that is equal to the closing market value of the Company's common stock on the day preceding the grant date.

        A summary of the transactions of the Company's stock option plans for the years ended August 31, 2014, 2013 and 2012 is presented below:

	Officers and Employees			Weighted Average Exercise Price
Options outstanding as of August 31, 2011		477,626		$	14.34
Granted		87,006			12.91
Exercised		—			—
Forfeited or cancelled		(6,750	)		16.53
Options outstanding at August 31, 2012		557,882		$	14.23
Granted		43,964			16.00
Exercised		(49,042	)		11.46
Forfeited or cancelled		—			—
Options outstanding at August 31, 2013		552,804		$	14.48
Granted		25,969			29.72
Exercised		(114,872	)		14.06
Forfeited or cancelled		—			—
Options outstanding at August 31, 2014		463,901		$	15.43
Options exercisable at August 31, 2014		377,406		$	14.60

        The weighted average grant date fair value of options granted in the years ended August 31, 2014, 2013 and 2012 was $10.52, $4.23 and $3.12 per share, respectively.

        The total pretax intrinsic value of stock options exercised was $2,153 and $678 for the years ended August 31, 2014 and 2013, respectively.

        Excluding the common stock currently reserved for issuance upon exercise of the 463,901 outstanding options, there are 1,267,007 shares of common stock available for future issuance under the Company's equity compensation plans.

        The income tax benefit realized from stock options exercised, vesting of restricted stock and issuance of stock pursuant to grants of restricted stock units was $1,324, $622 and $209 for the years ended August 31, 2014, 2013 and 2012, respectively.

        As of August 31, 2014, 60,957 shares of restricted stock were outstanding with exercise prices ranging from $16.00 - $29.72.

        As of August 31, 2014, unrecognized expense related to all stock based compensation described above is $690, which will be recognized over the next two fiscal years.

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Sale of Insulfab Product Line (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended	0 Months Ended	3 Months Ended			9 Months Ended
	Aug. 31, 2014	Oct. 07, 2013 Insulfab product line	Nov. 30, 2013 Insulfab product line	May 31, 2014 Insulfab product line	Aug. 31, 2013 Insulfab product line	May 31, 2014 Insulfab product line Maximum
Sale of Insulfab product line
Proceeds from the sale of property and assets	$ 9,179	$ 7,394
Increase in sale proceeds resulting from post-closing adjustments			2,516
Pre-tax book gain from the sale of property and assets			5,706
After-tax book gain from the sale of property and assets			3,709
Sale price held in escrow				739
Period in which submitted claims or adjustments are resolved from the closing date of Insulfab sale						18 months
Inventory		3,153			885
Property & equipment		1,062			1,060
Accrued expenses		(3)			(40)
Assets, net		$ 4,212			$ 1,905

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Long-Term Debt

12 Months Ended

Aug. 31, 2014

Long-Term Debt.

Long-Term Debt

Note 6—Long-Term Debt

        Long-term debt consists of the following at August 31, 2014 and 2013:

	2014			2013
Term note payable to bank in 19 quarterly installments that began in September 2012. The principal amount of the quarterly installments is $1,400 through June 2014, increased to $1,750 per quarter thereafter through June 2015, and will increase to $2,100 per quarter thereafter through March 2017. Interest is payable monthly at LIBOR rate plus 175 to 225 basis points, based upon the Company's consolidated leverage ratios (effective interest rate of 1.91% at August 31, 2014). Quarterly principal payments will continue through March 2017, and Chase will repay the remaining principal balance plus any interest due on the term note maturity date of June 27, 2017.	$	58,800		$	64,400
		58,800			64,400
Less portion payable within one year classified as current		(7,000	)		(5,600	)
Long-term debt, less current portion	$	51,800		$	58,800

        The Company has a revolving line of credit totaling $15,000 with Bank of America that bears interest at London Interbank Offered Rate (LIBOR) plus a range of 1.75% to 2.25%, depending on the consolidated leverage ratio of Chase Corporation, or, at our option, at the bank's base lending rate. As of August 31, 2014, the entire amount of $15,000 was available for use. The revolving line of credit is scheduled to mature in June 2017. This revolving line of credit allows for increased flexibility for working capital requirements going forward, and we plan to use this availability to help finance our cash needs, including potential acquisitions, in fiscal 2015 and future periods.

        Our credit agreement with Bank of America, which outlines the terms of both the term note payable and the revolving line of credit, contains customary affirmative and negative covenants that, among other things, restrict our ability to incur additional indebtedness. It also requires the Company to maintain a ratio of consolidated indebtedness to consolidated EBITDA (each as defined in the agreement) of no more than 3.00 to 1.00, and to maintain a consolidated fixed charge coverage ratio (as calculated in the agreement) of at least 1.25 to 1.00. The Company was in compliance with its debt covenants as of August 31, 2014.

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Goodwill and Intangible Assets (Details) (USD $)	12 Months Ended						12 Months Ended
	Aug. 31, 2014 item	Aug. 31, 2013	Aug. 31, 2014 Paper Tyger	Aug. 31, 2013 Paper Tyger	Aug. 31, 2013 NEPTCO	Jun. 27, 2012 NEPTCO	Aug. 31, 2014 Construction Materials	Aug. 31, 2013 Construction Materials	Aug. 31, 2014 Industrial Materials	Aug. 31, 2013 Industrial Materials	Aug. 31, 2014 Industrial Materials Paper Tyger	Aug. 31, 2013 Industrial Materials Paper Tyger	Aug. 31, 2013 Industrial Materials NEPTCO
Changes in the carrying value of goodwill
Balance at the beginning of the period	$ 37,815,000	$ 37,785,000				$ 19,668,000	$ 10,735,000	$ 10,740,000	$ 27,080,000	$ 27,045,000
Acquisition			161,000	141,000	(84,000)						161,000	141,000	(84,000)
Foreign currency translation adjustment	304,000	(27,000)					17,000	(5,000)	287,000	(22,000)
Balance at the end of the period	38,280,000	37,815,000				19,668,000	10,752,000	10,735,000	27,528,000	27,080,000
Number of reportable segments	2
Impairment of goodwill	$ 0

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Goodwill and Intangible Assets

12 Months Ended

Aug. 31, 2014

Goodwill and Intangible Assets

Goodwill and Intangible Assets

Note 4—Goodwill and Intangible Assets

        The changes in the carrying value of goodwill, by operating segment, are as follows:

	Construction Materials			Industrial Materials			Consolidated
Balance at August 31, 2012	$	10,740		$	27,045		$	37,785
Acquisition of NEPTCO, Inc.—working capital settlement		—			(84	)		(84	)
Acquisition of Paper Tyger—additional earnout		—			141			141
Foreign currency translation adjustment		(5	)		(22	)		(27	)
Balance at August 31, 2013	$	10,735		$	27,080		$	37,815
Acquisition of Paper Tyger—additional earnout		—			161			161
Foreign currency translation adjustment		17			287			304
Balance at August 31, 2014	$	10,752		$	27,528		$	38,280

        The Company's goodwill is allocated to each reporting unit based on the nature of the products manufactured by the respective business combinations that originally created the goodwill. The Company identified several reporting units within each of its two operating segments that are used to evaluate the possible impairment of goodwill. Goodwill impairment exists when the carrying amount of goodwill exceeds its fair value. Assessments of possible impairment of goodwill are made when events or changes in circumstances indicate that the carrying value of the asset may not be recoverable through future operations. Additionally, testing for possible impairment of recorded goodwill and certain intangible asset balances is required annually. The amount and timing of any impairment charges based on these assessments require the estimation of future cash flows and the fair market value of the related assets based on management's best estimates of certain key factors, including future selling prices and volumes; operating, raw material and energy costs, and various other projected operating and economic factors. When testing, fair values of the reporting units and the related implied fair values of their respective goodwill are established using public company analysis and discounted cash flows.

        The Company performs impairment reviews annually each fourth quarter (as of its fiscal year end, August 31^st) and whenever events or circumstances indicate the carrying value of goodwill may not be recoverable. For fiscal 2014, the Company's review indicated no impairment of goodwill.

        As of August 31, 2014, the Company had a total goodwill balance of $38,280 related to its acquisitions, of which $1,440 remains deductible for income taxes.

        Intangible assets subject to amortization consist of the following as of August 31, 2014 and 2013:

	Weighted-Average Amortization Period	Gross Carrying Value		Accumulated Amortization		Net Carrying Value
August 31, 2014
Patents and agreements	11.9 years	$	3,104	$	2,281	$	823
Formulas	9.1 years		5,849		2,851		2,998
Trade names	5.7 years		6,406		3,153		3,253
Customer lists and relationships	10.2 years		34,797		14,656		20,141
		$	50,156	$	22,941	$	27,215
August 31, 2013
Patents and agreements	11.9 years	$	3,198	$	2,200	$	998
Formulas	9.1 years		5,772		2,238		3,534
Trade names	5.7 years		6,345		2,055		4,290
Customer lists and relationships	10.2 years		34,020		11,061		22,959
		$	49,335	$	17,554	$	31,781

        Aggregate amortization expense related to intangible assets for the years ended August 31, 2014, 2013 and 2012 was $4,822, $4,793 and $2,716, respectively. As of August 31, 2014 estimated amortization expense for each of the five succeeding fiscal years is as follows:

Years ending August 31,
2015	$	4,736
2016		4,674
2017		4,237
2018		4,006
2019		3,308
	$	20,961

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Cash Surrender Value of Life Insurance

12 Months Ended

Aug. 31, 2014

Cash Surrender Value of Life Insurance.

Cash Surrender Value of Life Insurance

Note 5—Cash Surrender Value of Life Insurance

        Life insurance is provided under split dollar life insurance agreements whereby the Company will recover the premiums paid from the proceeds of the policies. The Company recognizes an offset to expense for the growth in the cash surrender value of the policies.

        The Company recognized cash surrender value of life insurance policies, net of loans of $5 at August 31, 2014 and 2013, secured by the policies, with the following carriers as of August 31, 2014 and 2013:

	2014		2013
John Hancock	$	4,450	$	4,450
John Hancock (formerly Manufacturers' Life Insurance Company)		1,054		1,009
Metropolitan Life Insurance		1,665		1,739
Other life insurance carriers		80		80
	$	7,249	$	7,278

        Subject to periodic review, the Company intends to maintain these policies through the lives or retirements of the insureds.

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Income Taxes

12 Months Ended

Aug. 31, 2014

Income Taxes

Income Taxes

Note 7—Income Taxes

        Domestic and foreign pre-tax income for the years ended August 31, 2014, 2013 and 2012 was:

	Year Ended August 31,
	2014		2013		2012
United States	$	35,480	$	23,562	$	12,767
Foreign		5,010		2,248		1,229
	$	40,490	$	25,810	$	13,996

        The provision (benefit) for income taxes for the years ended August 31, 2014, 2013 and 2012 was:

	Year Ended August 31,
	2014			2013			2012
Current:
Federal	$	13,012		$	8,112		$	5,073
State		1,437			1,652			392
Foreign		1,149			1,043			287
Total current income tax provision		15,598			10,807			5,752
Deferred:
Federal		(1,446	)		(1,302	)		(860	)
State		(168	)		(92	)		(150	)
Foreign		(17	)		(343	)		(10	)
Total deferred income tax benefit		(1,631	)		(1,737	)		(1,020	)
Total income tax provision	$	13,967		$	9,070		$	4,732

        The provision (benefit) for income taxes differs from the amount computed by applying the federal statutory income tax rate to income before income taxes. The Company's combined federal, state and foreign effective tax rate as a percentage before taxes for fiscal 2014, 2013 and 2012, net of offsets generated by federal, state and foreign tax benefits, was 34.5%, 35.1% and 33.8%, respectively. The following is a reconciliation of the effective income tax rate with the U.S. federal statutory income tax rate for the years ended August 31, 2014, 2013 and 2012:

	Year Ended August 31,
	2014			2013			2012
Federal statutory rates		35.0	%		35.0	%		35.0	%
Adjustment resulting from the tax effect of:
State and local taxes, net of federal benefit		1.8	%		3.8	%		1.1	%
Domestic production deduction		(3.1	)%		(3.3	)%		(3.5	)%
Foreign tax rate differential		(1.3	)%		(0.7	)%		(0.6	)%
Adjustment to uncertain tax position		0.3	%		(1.1	)%		(1.3	)%
Transaction costs not deductible		—			—			2.6	%
Research credit generated		(0.2	)%		(1.2	)%		(0.8	)%
Noncontrolling partnership interest		0.1	%		0.6	%		—
Tax effect of undistributed earnings		1.8	%		0.6	%		0.1	%
Other		0.1	%		1.4	%		1.2	%
Effective income tax rate		34.5	%		35.1	%		33.8	%

        The following table summarizes the tax effect of temporary differences on the Company's income tax provision:

	Year Ended August 31,
	2014			2013			2012
Current income tax provision	$	15,598		$	10,807		$	5,752
Deferred provision (benefit):
Allowance for doubtful accounts		(149	)		(15	)		(39	)
Inventories		(167	)		(259	)		(640	)
Pension expense		(332	)		(207	)		446
Deferred compensation		(36	)		(51	)		(70	)
Loan finance costs		7			66			(116	)
Accruals		(12	)		861			(177	)
Warranty reserve		(6	)		—			(56	)
Depreciation and amortization		(1,914	)		(1,836	)		(701	)
Restricted stock grant		315			(102	)		(74	)
Unrepatriated earnings		1,753			1,572			(133	)
Foreign taxes net of unrepatriated earnings		(1,014	)		(1,425	)		497
Foreign amortization		(106	)		(105	)		(134	)
Other accrued expenses		30			(236	)		177
Total deferred income tax benefit		(1,631	)		(1,737	)		(1,020	)
Total income tax provision	$	13,967		$	9,070		$	4,732

        The following table summarizes the tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities:

	As of August 31,
	2014			2013
Current:
Deferred tax assets:
Allowance for doubtful accounts	$	479		$	330
Inventories		1,458			1,291
Accruals		342			504
Warranty reserve		88			82
Current deferred tax assets		2,367			2,207
Deferred tax liabilities:
Prepaid liabilities		(52	)		(92	)
Current deferred tax liabilities		(52	)		(92	)
Current deferred tax assets, net		2,315			2,115
Noncurrent:
Deferred tax assets:
Pension accrual		3,464			2,162
Deferred compensation		811			775
Loan finance costs		44			50
Unrealized gain/loss on restricted investments		(61	)		(23	)
Restricted stock grants		804			1,122
Non qualified stock options		16			16
Foreign tax credits		7,340			6,326
Foreign other		470			256
Noncurrent deferred tax assets		12,888			10,684
Deferred tax liabilities:
Unrepatriated earnings		(8,148	)		(6,515	)
Foreign intangibles		—			118
Depreciation and amortization		(11,812	)		(13,780	)
Other		(38	)		26
Noncurrent deferred tax liabilities		(19,998	)		(20,151	)
Noncurrent deferred tax liabilities, net		(7,110	)		(9,467	)
Net deferred tax liabilities	$	(4,795	)	$	(7,352	)

        A summary of the Company's adjustments to its uncertain tax positions in fiscal years ended August 31, 2014, 2013 and 2012 are as follows:

	2014			2013			2012
Balance, at beginning of the year	$	900		$	1,180		$	893
Increase for tax positions related to the current year		58			17			19
Increase / (decrease) for tax positions related to prior years		80			73			(176	)
Increase for amounts recorded in acquisition accounting		—			—			465
Decreases for settlements with applicable taxing authorities		—			—			(21	)
Decreases for lapses of statute of limitations		(8	)		(370	)		—
Balance, at end of year	$	1,030		$	900		$	1,180

        The unrecognized tax benefits mentioned above include an aggregate of $489 of accrued interest and penalty balances related to uncertain tax positions. The Company recognizes interest and penalties related to uncertain tax positions in income tax expense. An increase in accrued interest and penalty charges of approximately $33, net of federal tax expense, was recorded as a tax expense during the current fiscal year. The Company does not anticipate that its accrual for uncertain tax positions will be reduced by a material amount over the next twelve month period, as it does not expect to settle any potential disputed items with the appropriate taxing authorities nor does it expect the statute of limitations to expire for any items.

        The Company is subject to U.S. federal income tax, as well as to income tax of multiple state and foreign tax jurisdictions. The statute of limitations for all material U.S. federal, state, and local tax filings remains open for fiscal years subsequent to 2010. For foreign jurisdictions, the statute of limitations remains open in the UK for fiscal years subsequent to 2010 and in France for fiscal years subsequent to 2013.

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Income Taxes (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Domestic and foreign pre-tax income
United States	$ 35,480	$ 23,562	$ 12,767
Foreign	5,010	2,248	1,229
Income before income taxes	40,490	25,810	13,996
Current:
Federal	13,012	8,112	5,073
State	1,437	1,652	392
Foreign	1,149	1,043	287
Total current income tax provision	15,598	10,807	5,752
Deferred:
Federal	(1,446)	(1,302)	(860)
State	(168)	(92)	(150)
Foreign	(17)	(343)	(10)
Total deferred income tax benefit	(1,631)	(1,737)	(1,020)
Total income tax provision	$ 13,967	$ 9,070	$ 4,732
Reconciliation of the effective income tax rate on continuing operations with the U.S. federal statutory income tax rate
Federal statutory rates (as a percent)	35.00%	35.00%	35.00%
Adjustment resulting from the tax effect of:
State and local taxes, net of federal benefit (as a percent)	1.80%	3.80%	1.10%
Domestic production deduction (as a percent)	(3.10%)	(3.30%)	(3.50%)
Foreign tax rate differential (as a percent)	(1.30%)	(0.70%)	(0.60%)
Adjustment to uncertain tax position (as a percent)	0.30%	(1.10%)	(1.30%)
Transaction costs not deductible (as a percent)			2.60%
Research credit generated (as a percent)	(0.20%)	(1.20%)	(0.80%)
Noncontrolling partnership interest (as a percent)	(0.10%)	(0.60%)
Tax effect of undistributed earnings (as a percent)	1.80%	0.60%	0.10%
Other (as a percent)	0.10%	1.40%	1.20%
Effective income tax rate (as a percent)	34.50%	35.10%	33.80%

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Related Party Agreements (Details) (USD $) In Thousands, unless otherwise specified			0 Months Ended	12 Months Ended			1 Months Ended		12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Oct. 31, 2014 JV Subsequent event	Aug. 31, 2013 Trust Voting agreement	Aug. 31, 2014 Joint venture partner JV	Aug. 31, 2013 Joint venture partner JV	Jun. 30, 2012 NEPTCO	Oct. 31, 2014 NEPTCO Subsequent event	Aug. 31, 2012 NEPTCO JV	Aug. 31, 2014 NEPTCO Joint venture partner Minimum	Aug. 31, 2014 NEPTCO Joint venture partner JV
Related party transactions
Percentage of ownership stake acquired			50.00%				50.00%	50.00%	50.00%
Ownership interest held by each member (as a percent)											50.00%
Percentage of total glass fiber requirements agreed to be purchased										80.00%
Purchases made					$ 1,610	$ 1,818
Amounts due for purchases made					394	378
Original book value	50,156	49,335
Useful life				10 years
Net book value	$ 27,215	$ 31,781

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Income Taxes (Details 3) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Deferred tax assets:
Allowance for doubtful accounts	$ 479	$ 330
Inventories	1,458	1,291
Accruals	342	504
Warranty reserve	88	82
Current deferred tax assets	2,367	2,207
Deferred tax liabilities:
Prepaid liabilities	(52)	(92)
Current deferred tax liabilities	(52)	(92)
Current deferred tax assets, net	2,315	2,115
Deferred tax assets:
Pension accrual	3,464	2,162
Deferred compensation	811	775
Loan finance costs	44	50
Unrealized gain/loss on restricted investments	(61)	(23)
Restricted stock grants	804	1,122
Non qualified stock options	16	16
Foreign tax credits	7,340	6,326
Foreign other	470	256
Noncurrent deferred tax assets	12,888	10,684
Deferred tax liabilities:
Unrepatriated earnings	(8,148)	(6,515)
Foreign intangibles		118
Depreciation and amortization	(11,812)	(13,780)
Other	(38)	26
Noncurrent deferred tax liabilities	(19,998)	(20,151)
Noncurrent deferred tax liabilities, net	470	(9,467)
Net deferred tax liabilities	(4,795)	(7,352)
Adjustments to uncertain tax positions
Balance, at beginning of the year	900	1,180	893
Increase for tax positions related to the current year	58	17	19
Increase / (decrease) for tax positions related to prior years	80	73	(176)
Increase for amounts recorded in acquisition accounting			465
Decrease for settlements with applicable taxing authorities			(21)
Decrease for lapses of statute of limitations	(8)	(370)
Balance, at end of year	130,979	900	1,180
Accrued balances related to uncertain tax positions
Accrued interest and penalty	489
Increase in accrued interest and penalty charges recorded as tax benefit	$ 33

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Long-Term Debt (Details) (USD $) In Thousands, unless otherwise specified			12 Months Ended														12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2014 Term note payable through June 27, 2017 item	Aug. 31, 2013 Term note payable through June 27, 2017 item	Aug. 31, 2014 Term note payable through June 27, 2017 Minimum	Aug. 31, 2013 Term note payable through June 27, 2017 Minimum	Aug. 31, 2014 Term note payable through June 27, 2017 Maximum	Aug. 31, 2013 Term note payable through June 27, 2017 Maximum	Aug. 31, 2014 Term note payable through June 27, 2017 Through June 2014	Aug. 31, 2013 Term note payable through June 27, 2017 Through June 2014	Aug. 31, 2014 Term note payable through June 27, 2017 After June 2014 through June 2015	Aug. 31, 2013 Term note payable through June 27, 2017 After June 2014 through June 2015	Aug. 31, 2014 Term note payable through June 27, 2017 After June 2015 through March 2017	Aug. 31, 2013 Term note payable through June 27, 2017 After June 2015 through March 2017	Aug. 31, 2014 Unsecured revolving credit facility NEPTCO	Jun. 27, 2012 Unsecured revolving credit facility NEPTCO	Aug. 31, 2014 Unsecured revolving credit facility NEPTCO Minimum	Aug. 31, 2014 Unsecured revolving credit facility NEPTCO Maximum
Long-term debt
Long-term debt	$ 58,800	$ 64,400	$ 58,800	$ 64,400
Less portion payable within one year classified as current	(7,000)	(5,600)
Long-term debt, less current portion	51,800	58,800
Number of quarterly installments			19	19
Quarterly payments									1,400	1,400	1,750	1,750	2,100	2,100
Variable rate basis			LIBOR rate	LIBOR rate											LIBOR rate
Interest rate margin on variable rate basis (as a percent)					1.75%	1.75%	2.25%	2.25%									1.75%	2.25%
Effective interest rate (as a percent)			1.91%	1.91%
Maximum borrowing capacity																15,000
Remaining borrowing capacity															$ 15,000
Ratio of consolidated indebtedness to consolidated EBITDA																		3.00
Consolidated fixed charge coverage ratio																	1.25

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Summary of Significant Accounting Policies (Tables)

12 Months Ended

Aug. 31, 2014

Summary of Significant Accounting Policies

Schedule of estimated useful lives of property, plant and equipment

Buildings and improvements	15 to 40 years
Machinery and equipment	3 to 10 years

Schedule of weighted average assumptions used to estimate the fair value of options granted on the date of grant using the Black-Scholes option pricing model

	2014	2013	2012
Expected Dividend yield	2.0%	2.2%	2.3%
Expected life	6.0 years	6.0 years	6.0 years
Expected volatility	41.0%	33.0%	30.0%
Risk-free interest rate	2.8%	1.6%	2.2%

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Selected Quarterly Financial Data (Unaudited) (Tables)

12 Months Ended

Aug. 31, 2014

Selected Quarterly Financial Data (Unaudited)

Schedule of unaudited operating results for each of the Company's quarters

	Fiscal Year 2014 Quarters
	First		Second		Third		Fourth		Year
Net Sales	$	53,655	$	50,412	$	56,973	$	59,994	$	221,034
Gross Profit on Sales		18,177		16,461		19,905		21,298		75,841
Net income attributable to Chase Corporation	$	8,775	$	4,520	$	6,324	$	7,012	$	26,631
Net income available to common shareholders, per common and common equivalent share:
Basic	$	0.96	$	0.50	$	0.69	$	0.77	$	2.92
Diluted	$	0.94	$	0.48	$	0.68	$	0.75	$	2.86

	Fiscal Year 2013 Quarters
	First		Second		Third		Fourth		Year
Net Sales	$	52,976	$	47,714	$	55,096	$	57,862	$	213,648
Gross Profit on Sales		15,705		14,247		18,264		19,398		67,614
Net income attributable to Chase Corporation	$	3,540	$	2,644	$	5,134	$	5,896	$	17,214
Net income available to common shareholders, per common and common equivalent share:
Basic	$	0.39	$	0.29	$	0.57	$	0.65	$	1.90
Diluted	$	0.39	$	0.29	$	0.56	$	0.64	$	1.87

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Export Sales and Foreign Operations

12 Months Ended

Aug. 31, 2014

Export Sales and Foreign Operations

Export Sales and Foreign Operations

Note 12—Export Sales and Foreign Operations

        Export sales from continuing domestic operations to unaffiliated third parties were $21,212, $22,827 and $21,204 for the years ended August 31, 2014, 2013 and 2012, respectively. Export sales had a slight decline in fiscal 2014 as compared to fiscal 2013 primarily due to the prior year's inclusion of some large export shipments of our C.I.M. products that were not repeated in fiscal 2014.

        The Company's products are sold world-wide. For the years ended August 31, 2014, 2013 and 2012, sales from its operations located in the United Kingdom accounted for 10%, 7% and 12%, respectively of the Company's total revenues. No other foreign geographic area accounted for more than 10% of total revenues for any of the years ended August 31, 2014, 2013 and 2012.

        As of August 31, 2014 and 2013, the Company had long-lived assets (defined as tangible assets providing the Company with a future economic benefit beyond the current year or operating period, including buildings, equipment and leasehold improvements) of $4,349 and $4,063, respectively, located in the United Kingdom. These balances exclude goodwill and intangibles of $9,924 and $10,333, as of August 31, 2014 and 2013, respectively. No foreign geographic area accounted for more than 10% of the Company's total assets as of August 31, 2014 and 2013.

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Net Income Per Share

12 Months Ended

Aug. 31, 2014

Net Income Per Share

Net Income Per Share

Note 17—Net Income Per Share

        The determination of earnings per share under the two-class method is as follows:

	Years Ended August 31,
	2014		2013		2012
Net income attributable to Chase Corporation	$	26,631	$	17,214	$	9,338
Less: Allocated to participating securities		449		396		295
Available to common shareholders	$	26,182	$	16,818	$	9,043
Basic weighted averages shares outstanding		8,952,026		8,860,972		8,761,262
Additional dilutive common stock equivalents		213,640		117,466		25,488
Diluted weighted averages shares outstanding		9,165,666		8,978,438		8,786,750
Net income available to common shareholders, per common and common equivalent share
Basic	$	2.92	$	1.90	$	1.03
Diluted	$	2.86	$	1.87	$	1.03

        For the year ended August 31, 2012, stock options to purchase 265,081 shares of common stock were outstanding, but were not included in the calculation of diluted net income per share because the options' exercise prices were greater than the average market price of the common stock and thus would be anti-dilutive. No stock options were excluded from the calculation for the years ended August 31, 2014 and 2013. Included in the calculation of dilutive common stock equivalents are the unvested portion of restricted stock, restricted stock units and stock options.

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Net Income Per Share (Tables)

12 Months Ended

Aug. 31, 2014

Net Income Per Share

Schedule of determination of earnings per share under the two-class method

	Years Ended August 31,
	2014		2013		2012
Net income attributable to Chase Corporation	$	26,631	$	17,214	$	9,338
Less: Allocated to participating securities		449		396		295
Available to common shareholders	$	26,182	$	16,818	$	9,043
Basic weighted averages shares outstanding		8,952,026		8,860,972		8,761,262
Additional dilutive common stock equivalents		213,640		117,466		25,488
Diluted weighted averages shares outstanding		9,165,666		8,978,438		8,786,750
Net income available to common shareholders, per common and common equivalent share
Basic	$	2.92	$	1.90	$	1.03
Diluted	$	2.86	$	1.87	$	1.03

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Capital and Operating Leases (Tables)

12 Months Ended

Aug. 31, 2014

Capital and Operating Leases

Schedule of future minimum lease payments under non-cancelable operating leases and the present value of future minimum capital lease payments

Year ending August 31,	Future Capital Lease Payments			Future Operating Lease Payments
2015	$	43		$	740
2016		34			742
2017		9			737
2018		—			706
2019		—			702
2020 and thereafter		—			3,148
Total future minimum lease payments	$	86		$	6,775
Less: interest (at rates ranging from 4% to 8%)		(8	)
	$	78
Less: current portion		(38	)
	$	40

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CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Net income	$ 26,523	$ 16,740	$ 9,264
Other comprehensive income:
Net unrealized gain on restricted investments, net of tax of $38, $20 and $20, respectively	65	85	33
Change in funded status of pension plans, net of tax of $(796), $281 and $297, respectively	(1,207)	201	(493)
Foreign currency translation adjustment	2,055	(419)	(904)
Total other comprehensive income (loss)	913	(133)	(1,364)
Comprehensive income	27,436	16,607	7,900
Comprehensive loss attributable to non-controlling interest	108	474	74
Comprehensive income attributable to Chase Corporation	$ 27,544	$ 17,081	$ 7,974

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Accumulated Other Comprehensive Income (Details) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Accumulated other comprehensive income
Balance at the beginning of the period	$ (5,163)	$ (5,030)
Other comprehensive gains (losses) before reclassifications	365	(1,200)
Reclassifications to net income of previously deferred (gains) losses	548	1,067
Total other comprehensive income (loss)	913	(133)	(1,364)
Balance at the end of the period	(4,250)	(5,163)	(5,030)
Restricted investments, other comprehensive gains (losses) before reclassifications, tax benefit	38	20	20
Gains on Restricted Investments:
Accumulated other comprehensive income
Balance at the beginning of the period	144	59
Other comprehensive gains (losses) before reclassifications	106	117
Reclassifications to net income of previously deferred (gains) losses	(41)	(32)
Total other comprehensive income (loss)	65	85
Balance at the end of the period	209	144
Loss on Funded Pension Plan adjustments:
Accumulated other comprehensive income
Balance at the beginning of the period	(3,578)	(3,779)
Other comprehensive gains (losses) before reclassifications	(1,796)	(898)
Reclassifications to net income of previously deferred (gains) losses	589	1,099
Total other comprehensive income (loss)	(1,207)	201
Balance at the end of the period	(4,785)	(3,578)
Foreign Currency Translation Adjustment
Accumulated other comprehensive income
Balance at the beginning of the period	(1,729)	(1,310)
Other comprehensive gains (losses) before reclassifications	2,055	(419)
Total other comprehensive income (loss)	2,055	(419)
Balance at the end of the period	$ 326	$ (1,729)

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Summary of Significant Accounting Policies

12 Months Ended

Aug. 31, 2014

Summary of Significant Accounting Policies

Summary of Significant Accounting Policies

Note 1—Summary of Significant Accounting Policies

        The principal accounting policies of Chase Corporation (the "Company") and its subsidiaries are as follows:

Products and Markets

        The Company's principal products are specialty tapes, laminates, sealants and coatings that are sold by Company salespeople, manufacturers' representatives and distributors. In the Company's Industrial Materials segment, these products consist of:

• (i)

  insulating and conducting materials for the manufacture of electrical and telephone wire and cable, electrical splicing, and terminating and repair tapes, which are marketed to wire and cable manufacturers;
  
  

  (ii)

  laminated film foils, composite strength elements, anti-static packaging tape and pulling tapes for the electronics and cable industries;
  
  

  (iii)

  moisture protective coatings, which are sold to the electronics industry including circuitry used in automobiles and home appliances;
  
  

  (iv)

  laminated durable papers, including laminated paper with an inner security barrier used in personal and mail-stream privacy protection, which are sold primarily to the envelope converting and commercial printing industries;
  
  

  (v)

  pulling and detection tapes used in the installation, measurement and location of fiber optic cables, water and natural gas lines, and power, data and video cables for commercial buildings;
  
  

  (vi)

  cover tapes with reliable adhesive and anti-static properties essential to delivering semiconductor components via tape and reel packaging; and
  
  

  (vii)

  flexible, rigid and semi-rigid fiber optic strength elements designed to allow fiber optic cables to withstand mechanical and environmental strain and stress.

        In the Company's Construction Materials segment, these products consist of:

• (i)

  protective pipe coating tapes and other protectants for valves, regulators, casings, joints, metals, concrete and wood, which are sold to oil companies, gas utilities and pipeline companies;
  
  

  (ii)

  protectants for highway bridge deck metal supported surfaces, which are sold to municipal transportation authorities;
  
  

  (iii)

  fluid applied coating and lining systems for use in the water and wastewater industry; and
  
  

  (iv)

  expansion and control joint systems designed for roads, bridges, stadiums and airport runways.

Basis of Presentation

        The financial statements include the accounts of the Company and its wholly-owned subsidiaries. Investments in unconsolidated companies which are at least 20% owned are carried under the equity method since acquisition or investment. All intercompany transactions and balances have been eliminated in consolidation. The Company uses the U.S. dollar as the functional currency for financial reporting.

        As part of the Company's purchase of NEPTCO in June 2012, it also acquired NEPTCO's 50% ownership stake in its financially- controlled joint venture, NEPTCO JV LLC ("JV"). Given the Company's controlling financial interest, the JV's assets and liabilities as of August 31, 2014 and 2013, and the results of operations beginning June 27, 2012, have been consolidated within the Company's consolidated balance sheet and the related consolidated statements of operations and cash flows. An offsetting amount equal to 50% of net assets and net loss of the JV has also been recorded within the Company's consolidated financial statements to non-controlling interest, representing the joint venture partner's 50% ownership stake and pro rata share in net results of the JV.

        The Company has evaluated events and transactions subsequent to the balance sheet date. Based on this evaluation, and other than the October 2014 purchase of the 50% non-controlling membership interest in NEPTCO JV LLC described in Note 14, and the cash dividend announced on October 23, 2014 of $0.60 per share to shareholders of record on November 3, 2014 payable on December 4, 2014, the Company is not aware of any other events or transactions that occurred subsequent to the balance sheet date, but prior to filing, that would require recognition or disclosure in its consolidated financial statements.

Use of Estimates

        The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents

        Cash and cash equivalents consist primarily of demand deposits accounts or investment instruments that meet high credit quality standards such as money market funds, government securities, or commercial paper. The Company considers all highly liquid debt instruments purchased with a maturity of three months or less from date of purchase to be cash equivalents.

Accounts Receivable

        The Company evaluates the collectability of accounts receivable balances based on a combination of factors. In cases where the Company is aware of circumstances that may impair a specific customer's ability to meet its financial obligations to it, a specific allowance against amounts due to the Company is recorded, and thereby reduces the net recognized receivable to the amount the Company reasonably believes will be collected. For all other customers, the Company recognizes allowances for doubtful accounts based on the length of time the receivables are past due, industry and geographic concentrations, the current business environment and its historical experience. Receivables are written off against these reserves in the period they are determined to be uncollectible.

Inventories

        The Company values inventory at the lower of cost or market using the first-in, first-out (FIFO) method. Management assesses the recoverability of inventory based on types and levels of inventory held, forecasted demand and changes in technology. These assessments require management judgments and estimates, and valuation adjustments for excess and obsolete inventory may be recorded based on these assessments. The Company estimates excess and obsolescence exposures based upon assumptions about future demand, product transitions, and market conditions and records reserves to reduce inventories to their estimated net realizable value. The failure to accurately forecast demand may lead to additional excess and obsolete inventory and future charges.

Goodwill

        The Company accounts for goodwill in accordance with ASC Topic 350, "Intangibles—Goodwill and Other." The Company identified several reporting units within each of its two operating segments. These are used to evaluate the possible impairment of goodwill annually each fourth quarter and whenever events or circumstances indicate the carrying value of goodwill may not be recoverable. When evaluating the potential impairment of goodwill, the Company will first assess a range of qualitative factors, including but not limited to, industry conditions, the competitive environment, changes in the market for our products and services, entity specific factors such as strategy and changes in key personnel, and the overall financial performance for each of our reporting units relative to expected historical or projected future operating results. If after completing this assessment, it is determined that it is more likely than not that the fair value of a reporting unit is less than its carrying value, the Company will then proceed to a two-step impairment testing methodology using the income approach (discounted cash flow method).

        In the first step of this testing methodology, we compare the carrying value of the reporting unit, including goodwill, with its fair value, as determined by its estimated discounted cash flows. If the carrying value of a reporting unit exceeds its fair value, we then complete the second step of the impairment test to determine the amount of impairment to be recognized. In the second step, we estimate an implied fair value of the reporting unit's goodwill by allocating the fair value of the reporting unit to all of the assets and liabilities other than goodwill (including intangible assets). If the carrying value of a reporting unit's goodwill exceeds its implied fair value, we record an impairment loss equal to the difference in that period. The key assumptions incorporated in the discounted cash flow approach include projected operating income, changes in working capital, projected capital expenditures, estimated terminal sales value and a discount rate equal to the assumed long-term cost of capital. Cash flows may be adjusted to exclude certain non-recurring or unusual items. The cash flow estimates used to determine impairment, if any, contain management's best estimates, using appropriate and customary assumptions and projections at the time.

Intangible Assets

        Intangible assets consist of patents, agreements, formulas, trade names, customer relationships and trademarks. The Company capitalizes costs related to patent applications and technology agreements. The costs of these assets are amortized using the straight-line method over the lesser of the useful life of the asset or its statutory life. Capitalized costs are periodically reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable.

Property, Plant and Equipment

        Property, plant and equipment are stated at cost and depreciated using the straight-line method over the assets' estimated useful lives. Expenditures for maintenance repairs and minor renewals are charged to expense as incurred. Betterments and major renewals are capitalized. Upon retirement or other disposition of assets, related allowances for depreciation and amortization are eliminated from the accounts and any resulting gain or loss is included in the determination of income or loss. The estimated useful lives of property, plant and equipment are as follows:

Buildings and improvements	15 to 40 years
Machinery and equipment	3 to 10 years

        Leasehold improvements are depreciated over the lesser of the useful life or the term of the lease.

Restricted Investments and Deferred Compensation

        The Company has a non-qualified deferred savings plan that covers its Board of Directors and selected employees. Participants may elect to defer a portion of their compensation for payment in a future tax year. The plan is funded by trusteed assets that are restricted to the payment of deferred compensation or satisfaction of the Company's general creditors. The Company's restricted investments and corresponding deferred compensation liability under the plan were $1,256 and $1,094 at August 31, 2014 and 2013, respectively. The Company accounts for the restricted investments as available for sale by recording unrealized gains or losses in other comprehensive income as a component of stockholders' equity.

Split-Dollar Life Insurance Arrangements

        The net liability related to these postretirement benefits was calculated as the difference between the present value of future premiums to be paid by the Company reduced by the present value of the expected proceeds to be returned to the Company upon the insured's death. The Company prepared its calculation by using mortality assumptions which are based on the IRS 2014 Combined Static Mortality Table, and a 1.63% discount rate. The Company's net liability related to these postretirement obligations was $54 and $56 at August 31, 2014 and 2013, respectively.

Revenues

        The Company recognizes revenue when persuasive evidence of an arrangement exists, performance of its obligation is complete, its price to the buyer is fixed or determinable, and the Company is reasonably assured of collecting. This is typically at the time of shipment or upon receipt by the customer based on contractual terms. If a loss is anticipated on any contract, a provision for the entire loss is made immediately. Revenue recognition involves judgments and assessments of expected returns, and the likelihood of nonpayment by customers. The Company analyzes various factors, including a review of specific customer contracts and shipment terms, historical experience, creditworthiness of customers and current market and economic conditions in determining when to recognize revenue. Changes in judgments on these factors could impact the timing and amount of revenue recognized with a resulting impact on the timing and amount of operating income. Commissions are recognized when earned and payments are received from the manufacturers represented. Royalty revenue is recognized based on licensee production statements received from the authorized manufacturers. Billed shipping and handling fees are recorded as sales revenue with the associated costs recorded as costs of products and services sold.

        The Company's warranty policy provides that the products (or materials) delivered will meet its standard specifications for the products or any other specifications as may be expressly agreed to at time of purchase. All warranty claims must be received within 90 days from the date of delivery, unless some other period has been expressly agreed to within the terms of the sales agreement. The Company's warranty costs have historically been insignificant. The Company records a current liability for estimated warranty claims with a corresponding debit to cost of products and services sold based upon current and historical experience and upon specific claims issues as they arise.

        In addition, the Company offers certain sales incentives based on sales levels as they are earned.

Research and Product Development Costs

        Research and product development costs are expensed as incurred and include primarily engineering salaries, overhead and materials used in connection with research and development projects. Research and development expense amounted to $2,599, $3,395 and $2,958 for the years ended August 31, 2014, 2013 and 2012, respectively.

Pension Plan

        The Company accounts for its pension plans following the requirements of ASC Topic 715, "Compensation—Retirement Benefits" ("ASC 715"). ASC 715 requires an employer to: (a) recognize in its statement of financial position the funded status of a benefit plan; (b) measure defined benefit plan assets and obligations as of the end of the employer's fiscal year (with limited exceptions); and (c) recognize as a component of other comprehensive income, net of tax, the gains or losses and prior service costs or credits that arise but are not recognized as components of net periodic benefit costs pursuant to prior existing guidance.

Stock Based Compensation

        In accordance with the accounting for stock based compensation guidance, the Company measures and recognizes compensation expense for all share-based payment awards made to employees and directors based on estimated fair values. This includes restricted stock, restricted stock units and stock options. The guidance allows for the continued use of the simplified method as the Company has concluded that its historical share option exercise experience does not provide a reasonable basis for estimating expected term. The Company uses the short cut method to calculate the historical windfall tax pool.

        Stock-based compensation expense recognized in fiscal years 2014, 2013 and 2012 was $1,096, $1,621 and $2,040, respectively.

        The fair value of options granted was estimated on the date of grant using the Black-Scholes option pricing model with the following weighted average assumptions for the years ending August 31, 2014, 2013 and 2012:

	2014	2013	2012
Expected Dividend yield	2.0%	2.2%	2.3%
Expected life	6.0 years	6.0 years	6.0 years
Expected volatility	41.0%	33.0%	30.0%
Risk-free interest rate	2.8%	1.6%	2.2%

        Expected volatility is determined by looking at a combination of historical volatility over the past seven years as well as implied volatility going forward.

Translation of Foreign Currency

        The financial position and results of operations of the Company's HumiSeal Europe Ltd and Chase Protective Coatings Ltd businesses are measured using the UK pound sterling as the functional currency, and the financial position and results of operations of the Company's HumiSeal Europe SARL business in France are measured using euros as the functional currency. Revenues and expenses of these businesses have been translated at average exchange rates. Assets and liabilities have been translated at the year-end exchange rates. Translation gains and losses are being recorded as a separate component of shareholders' equity. Transaction gains and losses generated from the remeasurement of assets and liabilities denominated in currencies other than the functional currency of our foreign operations are included in other income on the consolidated statements of operations.

Income Taxes

        The Company accounts for income taxes under the asset and liability method. Under this method, a deferred tax asset or liability is determined based upon the differences between the financial statement and tax bases of assets and liabilities as measured by the enacted tax rates that will be in effect when these differences reverse. Tax credits are recorded as a reduction in income taxes. Valuation allowances are provided if, based upon the weight of available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized.

        The Company estimates contingent income tax liabilities based on the guidance for accounting for uncertain tax positions as prescribed in ASC Topic 740, "Income Taxes." See Note 7 for more information on the Company's income taxes.

Net Income Per Share

        The Company has unvested share-based payments awards with a right to receive nonforfeitable dividends, which are considered participating securities under ASC Topic 260, "Earnings Per Share" ("ASC 260"). The Company allocates earnings to participating securities and computes earnings per share using the two class method.

Comprehensive Income

        Comprehensive income is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources, including foreign currency translation adjustments, unrealized gains and losses on marketable securities and adjustments related to the change in the funded status of the pension plans.

Non-controlling Interest

        A legal entity is subject to the consolidation rules of ASC Topic 810, "Consolidations" ("ASC 810") if the total equity investment at risk is not sufficient to permit the legal entity to finance its activities without additional subordinated financial support or the equity investors lack certain specified characteristics of a controlling financial interest. Based on the criteria in ASC 810, the Company determined that its joint venture agreement qualifies as a variable interest entity ("VIE"). The purpose of the joint venture is to combine the elements of NEPTCO's and the joint venture partner's (an otherwise unrelated party) fiber optic strength element businesses. Under ASC 810, a reporting entity shall consolidate a VIE when that reporting entity has a variable interest (or combination of variable interests) that provides the reporting entity with a controlling financial interest. The reporting entity shall be deemed to have a controlling financial interest in a VIE if it has both of the following characteristics: a) the power to direct the activities of a VIE that most significantly impact the VIE's economic performance; and b) the obligation to absorb losses or right to receive benefits from the VIE that could potentially be significant to the VIE. The reporting entity that consolidates a VIE is called the "primary beneficiary" of that VIE. The Company determined that it is the primary beneficiary of the VIE primarily due to Chase directing the activities that most significantly impact the VIE's economic performance, which is the actual management and operation of the joint venture and having the obligation to absorb losses and the right to receive benefits from the VIE that could potentially be significant to the VIE through our equity investment in the VIE. As a result, the Company has consolidated the operations of the joint venture in its consolidated financial statements.

Segments

        The segment reporting topic of the Financial Accounting Standards Board ("FASB") codification establishes standards for reporting information about operating segments. The Company is organized into two operating segments, an Industrial Materials segment and a Construction Materials segment. The basis for this segmentation is distinguished by the nature of the products and how they are delivered to their respective markets. The Industrial Materials segment reflects specified products that are used in or integrated into another company's product with demand dependent upon general economic conditions. Industrial Materials products include insulating and conducting materials for wire and cable manufacturers, moisture protective coatings for electronics and printing services, laminated durable papers, laminates for the packaging and industrial laminate markets, pulling and detection tapes used in the installation, measurement and location of fiber optic cables, water and natural gas lines, cover tapes essential to delivering semiconductor components via tape and reel packaging, and wind energy composite materials and elements. Additionally, the Industrial Materials segment includes a joint venture which produces glass-based strength elements designed to allow fiber optic cables to withstand mechanical and environmental strain and stress. The Construction Materials segment reflects its construction project oriented product offerings which are primarily sold and used as "Chase" branded products in final form. Construction Materials products include protective coatings for pipeline applications, coating and lining systems for use in liquid storage and containment applications, high performance polymeric asphalt additives, and expansion and control joint systems for use in the transportation and architectural markets.

Recently Issued Accounting Standards

        In February 2013, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2013-02, "Comprehensive Income (Topic 220): Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income". This ASU expands the presentation of changes in accumulated other comprehensive income. The new guidance requires an entity to disaggregate the total change of each component of other comprehensive income either on the face of the net income statement or as a separate disclosure in the notes. ASU 2013-02 is effective for fiscal years beginning after December 15, 2012. The Company adopted this ASU in the first quarter of fiscal 2014 (See Note 23 for additional details). The provisions of ASU 2013-02 did not have a material impact on the Company's consolidated financial position, results of operations or cash flows.

        In May 2014, the FASB issued Accounting Standards Update ("ASU") No. 2014-09, "Revenue from Contracts with Customers", which will replace most existing revenue recognition guidance in U.S. Generally Accepted Accounting Principles. The core principle of the ASU is that an entity should recognize revenue for the transfer of goods or services equal to the amount that it expects to be entitled to receive for those goods or services. The ASU requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments. The ASU will be effective for the Company beginning September 1, 2017 (fiscal 2018), including interim periods in its fiscal year 2018, and allows for both retrospective and prospective methods of adoption. The Company is in the process of determining the method of adoption and assessing the impact of this ASU on the Company's consolidated financial position, results of operations or cash flows.

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Inventories (Details) (USD $) In Thousands, unless otherwise specified	Aug. 31, 2014	Aug. 31, 2013
Inventories
Raw materials	$ 13,785	$ 14,545
Work in process	7,359	5,967
Finished goods	10,395	11,536
Total Inventories	$ 31,539	$ 32,048

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Fair Value Measurements (Details) (Recurring basis, USD $) In Thousands, unless otherwise specified	Aug. 31, 2014	Aug. 31, 2013
Total
Fair value measurements
Restricted investments	$ 1,256	$ 1,094
Long-term debt	58,800	64,400
Quoted prices in active markets (Level 1)
Fair value measurements
Restricted investments	1,216	1,094
Significant other observable inputs (Level 2)
Fair value measurements
Restricted investments	40
Long-term debt	$ 58,800	$ 64,400

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Benefits and Pension Plans (Details 2) (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Aug. 31, 2015	Aug. 31, 2014	Aug. 31, 2013	Aug. 31, 2012
Change in benefit obligation
Projected benefit obligation at beginning of year	$ 18,279	$ 15,651	$ 17,322	$ 13,953
Acquired benefit obligation for Neptco pension plan				1,806
Service cost		323	352	482
Interest cost		643	503	532
Actuarial loss		2,933	1,019	1,908
Curtailments			24
Settlements		(1,233)	(3,443)	(1,316)
Benefits paid		(38)	(126)	(43)
Projected benefit obligation at end of year		18,279	15,651	17,322
Change in plan assets
Fair value of plan assets at beginning of year	8,816	8,826	9,405	7,235
Fair value of Neptco pension plan assets				884
Actual return on plan assets		996	690	752
Employer contribution	0	267	2,300	1,893
Settlements		1,233	(3,443)	(1,316)
Benefits paid		(38)	(126)	(43)
Fair value of plan assets at end of year		8,816	8,826	9,405
Funded status
Funded status at end of year		(9,461)	(6,825)	(7,917)
Amounts recognized in consolidated balance sheets
Non-current assets		962	1,014
Current liabilities		(5)	(5)	(215)
Non-current liabilities		(10,418)	(7,834)	(7,702)
Net amounts recognized in Consolidated Balance Sheets		(9,461)	(6,825)	(7,917)
Actuarial present value of benefit obligation and funded status
Accumulated benefit obligation		16,362	13,842	14,735
Projected benefit obligation		18,279	15,651	17,322
Plan assets at fair value		8,818	8,826	9,405
Amounts recognized in accumulated other comprehensive Income
Prior service cost		64	67	82
Net actuarial loss		7,567	5,561	6,029
Adjustment to pre-tax accumulated other comprehensive income		7,631	5,628	6,111
Other changes in plan assets and benefit obligations recognized in other comprehensive income
Net loss		2,647	979	1,691
Amortization of loss		(293)	(250)	(276)
Amortization of prior service cost		(3)	(13)	(74)
Effect of settlement on accumulated other comprehensive income		(348)	(1,198)	(550)
Total recognized in other comprehensive income		2,003	(482)	791
Net periodic pension cost		900	1,690	1,378
Total recognized in net periodic pension cost and other comprehensive income		2,903	1,208	2,169
Estimated amounts that will be amortized from accumulated comprehensive income over the next fiscal year
Prior service cost		3	3	14
Net actuarial loss		(307)	293	337
Components of net periodic benefit cost
Service cost		323	352	482
Interest cost		643	503	532
Expected return on plan assets		(710)	(651)	(536)
Amortization of prior service cost		3	13	74
Amortization of accumulated loss		293	250	276
Settlement and curtailment loss		348	1,223	550
Net periodic benefit cost		$ 900	$ 1,690	$ 1,378
NEPTCO | Union Employees
Benefits and pension plans
Period before retirement for determination of employee's average compensation		5 years

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Sale of Insulfab Product Line

12 Months Ended

Aug. 31, 2014

Sale of Insulfab Product Line

Sale of Insulfab Product Line

Note 18—Sale of Insulfab Product Line

        On October 7, 2013, the Company sold substantially all of its property and assets, including intellectual property, comprising the Insulfab® product line, to an unrelated third party ("Buyer"). The Insulfab product line is primarily focused on manufacturing high quality, engineered barrier laminates used in aerospace applications. The sale proceeds of $7,394 were subject to certain post-closing adjustments based on the change in the final net book value compared to the bid date net book value. In the quarter ending November 30, 2013, management determined these post-closing adjustments resulted in an increase in the sale proceeds of $2,516 based on the increase of inventory sold to the Buyer at closing. This adjustment was settled and paid by the Buyer to the Company in the quarter ending February 28, 2014, net of amounts held in escrow.

        This transaction resulted in a pre-tax book gain of $5,706 ($3,709 after-tax gain) which was recorded in the quarter ending November 30, 2013. The portion of the sale price held in escrow of $739 is recorded as a current asset (Due from sale of product line) as of August 31, 2014, and is available to resolve any submitted claims or adjustments up to 18 months from the closing date of the Insulfab sale.

        The following table summarizes information about the Insulfab product line as of October 7, 2013 and August 31, 2013:

	October 7, 2013			August 31, 2013
Inventory	$	3,153		$	885
Property & equipment		1,062			1,060
Accrued expenses		(3	)		(40	)
	$	4,212		$	1,905

        As a result of the efforts to market and sell this product line beginning in the fourth quarter of fiscal 2013, the Company had classified the Insulfab assets (including inventory and equipment) as assets held for sale as of August 31, 2013. This product line and related assets were part of the Company's Industrial Materials segment.

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Stockholders' Equity (USD $) In Thousands, except Share data, unless otherwise specified	1 Months Ended									12 Months Ended		1 Months Ended						12 Months Ended						12 Months Ended	1 Months Ended	12 Months Ended	24 Months Ended	1 Months Ended		12 Months Ended	24 Months Ended	1 Months Ended	0 Months Ended		12 Months Ended	0 Months Ended
	Dec. 31, 2011 Restricted stock Non-executive officer employees	Dec. 31, 2009 Restricted stock Retired executive officer September 2008 grants	Dec. 31, 2009 Restricted stock Retired executive officer September 2009 grants	Feb. 28, 2014 Restricted stock Non-employee directors	Feb. 29, 2012 Restricted stock Non-employee directors	Feb. 28, 2011 Restricted stock Non-employee directors	Jan. 31, 2010 Restricted stock Non-employee directors	Sep. 30, 2009 Performance and service-based restricted stock Executive officers and other members of management	Aug. 31, 2009 Performance and service-based restricted stock Executive officers and other members of management	Aug. 31, 2012 Performance and service-based restricted stock Executive officers and other members of management	Aug. 31, 2010 Performance and service-based restricted stock Executive officers and other members of management	Mar. 31, 2012 Time-based restricted stock Non-executive officer employees	Sep. 30, 2011 Time-based restricted stock Non-executive officer employees	Apr. 30, 2011 Time-based restricted stock Non-executive officer employees	Oct. 31, 2012 2013 Plan	Aug. 31, 2014 2005 Incentive Plan	Nov. 30, 2005 2005 Incentive Plan	Aug. 31, 2014 2001 Senior Management Stock Plan and 2001 Non-Employee Director Stock Option Plan Maximum	Aug. 31, 2014 2001 Senior Management Stock Plan and 2001 Non-Employee Director Stock Option Plan Options	Aug. 31, 2014 2001 Senior Management Stock Plan and 2001 Non-Employee Director Stock Option Plan Options Minimum	Aug. 31, 2014 2001 Senior Management Stock Plan and 2001 Non-Employee Director Stock Option Plan Options Maximum	Oct. 31, 2002 2001 Senior Management Stock Plan	Oct. 31, 2002 2001 Non-Employee Director Stock Option Plan	Aug. 31, 2012 2001 Non-Employee Director Stock Option Plan Restricted stock	Sep. 30, 2010 2011 LTIP Performance and service-based restricted stock Executive officers	Aug. 31, 2012 2011 LTIP Performance and service-based restricted stock Executive officers	Aug. 31, 2012 2011 LTIP Performance and service-based restricted stock Executive officers	Sep. 30, 2010 2011 LTIP Time-based restricted stock Executive officers	Sep. 30, 2011 2012 LTIP Performance and service-based restricted stock Executive officers	Aug. 31, 2013 2012 LTIP Performance and service-based restricted stock Executive officers	Aug. 31, 2013 2012 LTIP Performance and service-based restricted stock Executive officers	Sep. 30, 2011 2012 LTIP Time-based restricted stock Executive officers	Sep. 02, 2013 2013 LTIP Performance and service-based restricted stock Executive officers and other members of management	Oct. 22, 2012 2013 LTIP Performance and service-based restricted stock Executive officers and other members of management	Aug. 31, 2013 2013 LTIP Performance and service-based restricted stock Executive officers and other members of management	Oct. 22, 2012 2013 LTIP Time-based restricted stock Executive officers and other members of management August 31, 2013 vesting date	Oct. 22, 2012 2013 LTIP Time-based restricted stock Executive officers and other members of management August 31, 2015 vesting date	Sep. 02, 2013 2014 LTIP Performance and service-based restricted stock Executive officers and other members of management	Sep. 02, 2013 2014 LTIP Time-based restricted stock Executive officers and other members of management August 31, 2016 vesting date	Sep. 02, 2013 2014 LTIP Time-based restricted stock Executive officers and other members of management August 31, 2014 vesting date
Stock Based Compensation
Shares authorized															1,200,000	67,007	1,000,000					1,500,000	180,000
Vesting period					12 months	12 months	12 months													3 years	5 years			1 year
Expiration term																		10 years	10 years
Shares granted				4,878	10,085	11,031		50,657	76,874		68,453	1,368	5,037	4,249										7,706	32,835	32,835	65,670	16,417	33,798	33,798	67,596	16,899	11,861	11,861	23,722			7,529
Shares forfeited	1,887	2,377	8,421								68,453																									1,931	16,505		8,323	1,040
Adjusted shares										145,327
Value of common stock received as part of annual retainer																								$ 144

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Cash Surrender Value of Life Insurance (Tables)

12 Months Ended

Aug. 31, 2014

Cash Surrender Value of Life Insurance.

Schedule of cash surrender value of life insurance policies

	2014		2013
John Hancock	$	4,450	$	4,450
John Hancock (formerly Manufacturers' Life Insurance Company)		1,054		1,009
Metropolitan Life Insurance		1,665		1,739
Other life insurance carriers		80		80
	$	7,249	$	7,278

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Segment Data

12 Months Ended

Aug. 31, 2014

Segment Data

Segment Data

Note 11—Segment Data

        The Company is organized into two operating segments, an Industrial Materials segment and a Construction Materials segment. The segments are distinguished by the nature of the products and how they are delivered to their respective markets.

        The Industrial Materials segment reflects specified products that are used in, or integrated into, another company's product with demand dependent upon general economic conditions. Industrial Materials products include insulating and conducting materials for wire and cable manufacturers, moisture protective coatings for electronics and printing services, laminated durable papers, laminates for the packaging and industrial laminate markets, pulling and detection tapes used in the installation, measurement and location of fiber optic cables, water and natural gas lines, cover tapes essential to delivering semiconductor components via tape and reel packaging, and wind energy composite materials and elements. Additionally, the Industrial Materials segment includes a joint venture which produces glass-based strength elements designed to allow fiber optic cables to withstand mechanical and environmental strain and stress.

        The Construction Materials segment comprises project-oriented product offerings that are primarily sold and used as "Chase" branded products. Construction Materials products include protective coatings for pipeline applications, coating and lining systems for use in liquid storage and containment applications, high performance polymeric asphalt additives, and expansion and control joint systems for use in the transportation and architectural markets.

        The following tables summarize information about the Company's segments:

	Years Ended August 31,
	2014			2013			2012
Revenues
Industrial Materials	$	169,657		$	163,474		$	95,988
Construction Materials		54,349			52,588			52,931
Total	$	224,006		$	216,062		$	148,919
Income before taxes
Industrial Materials	$	40,015		$	26,400		$	17,643
Construction Materials		8,157			6,463			4,913
Total for reportable segments		48,172			32,863			22,556
Corporate and common costs		(7,682	)		(7,053	)		(8,560	)
Total	$	40,490		$	25,810		$	13,996
Includes the following costs by segment:
Industrial Materials
Interest	$	959		$	928		$	106
Depreciation		4,650			4,914			2,261
Amortization		3,094			3,082			999
Construction Materials
Interest	$	184		$	366		$	292
Depreciation		982			921			902
Amortization		1,727			1,684			1,690

	As of August 31,
	2014		2013
Total assets
Industrial Materials	$	127,820	$	133,110
Construction Materials		50,972		48,573
Total for reportable segments		178,792		181,683
Corporate and common assets		66,753		42,677
Total	$	245,545	$	224,360