INVESTMENTS

12 Months Ended

May 31, 2011

Equity Method And Cost Method Investments [Text Block]

7. INVESTMENTS

Included in the Other assets and deferred charges section of the Company’s Consolidated Balance Sheets were investments of $20.4 and $20.6 at May 31, 2011 and May 31, 2010, respectively.

In fiscal 2010, the Company determined that a cost-method investment in a U.S.-based internet company was other than temporarily impaired. Accordingly, the Company recognized a loss of $1.5 for the fiscal year ended May 31, 2010.

The Company owns a non-controlling interest in a book distribution business located in the United Kingdom. In fiscal 2009, the Company determined that these assets were other than temporarily impaired. For the fiscal year ended May 31, 2009, the Company recorded impairments on investments related to these operations of $13.5. In fiscal 2011, the Company again determined that these assets were other than temporarily impaired. The Company employed Level 3 fair value measures, including discounted cash flow projections, and recognized an impairment loss of $3.6. The carrying value of these assets was $5.7 as of May 31, 2011.

In fiscal 2007, the Company participated in the organization of a new entity that produces and distributes educational children’s television programming. Since inception in August 2006, the Company has contributed a total of $6.0 in cash and certain rights to existing television programming. The Company’s investment, which consists of a 12.25% equity interest, is accounted for using the equity method of accounting. The net value of this investment at May 31, 2011 was $1.3.

The following table summarizes the Company’s investments as of May 31:

	2011		2010
Cost method investments:
UK-based	$	5.7	$	9.1
Total cost method investments		5.7		9.1
Equity method investments:
UK-based		13.4		10.8
U.S.-based	$	1.3	$	0.7
Total equity method investment		14.7		11.5
Total	$	20.4	$	20.6