Reclassification out of Accumulated Other Comprehensive Income Reclassification out of Accumulated Other Comprehensive Income

12 Months Ended

Jun. 30, 2020

Reclassification out of Accumulated Other Comprehensive Income [Abstract]

Reclassification out of Accumulated Other Comprehensive Income

NOTE 13. RECLASSIFICATION OUT OF ACCUMULATED OTHER COMPREHENSIVE (LOSS)/INCOME

Comprehensive income is a measure of income that includes both net earnings and other comprehensive income (loss). Other comprehensive income/(loss) results from items deferred on the Consolidated Balance Sheets in stockholders' equity. Other comprehensive income/(loss) was $242.5 million, $422.5 million, and ($254.3) million in fiscal 2020, 2019, and 2018, respectively. Changes in Accumulated Other Comprehensive (Loss)/Income (“AOCI”) by component are as follows:

	Currency Translation Adjustment		Net Gains on Available-for-sale Securities			Cash Flow Hedging Activities		Pension Liability			Accumulated Other Comprehensive (Loss) /Income
Balance at June 30, 2017	$	(234.8)	$	68.3		$	—	$	(216.7)		$	(383.2)
Other comprehensive income/(loss) before reclassification adjustments	7.8		(460.7)			—		87.0			(365.9)
Tax effect	—		123.4			—		(18.7)			104.7
Reclassification adjustments to net earnings	—		2.7		(A)	—		9.3		(B)	12.0
Tax effect	—		(0.6)			—		(4.5)			(5.1)
Reclassification to retained earnings (C)	—		(7.1)		(C)	—		(35.2)		(C)	(42.3)
Balance at June 30, 2018	$	(227.0)	$	(274.0)		$	—	$	(178.8)		$	(679.8)
Other comprehensive income/(loss) before reclassification adjustments	(42.2)		642.4			—		(84.7)			515.5
Tax effect	—		(144.4)			—		20.0			(124.4)
Reclassification adjustments to net earnings	—		0.9		(A)	—		40.3		(B)	41.2
Tax effect	—		(0.3)			—		(9.5)			(9.8)
Balance at June 30, 2019	$	(269.2)	$	224.6		$	—	$	(212.7)		$	(257.3)
Other comprehensive income/(loss) before reclassification adjustments	(53.0)		602.2			(40.3)		(160.8)			348.1
Tax effect	—		(136.4)			10.0		39.5			(86.9)
Reclassification adjustments to net earnings	—		(12.9)		(A)	—		(11.8)		(B)	(24.7)
Tax effect	—		2.9			—		3.1			6.0
Balance at June 30, 2020	$	(322.2)	$	680.4		$	(30.3)	$	(342.7)		$	(14.8)

(A) Reclassification adjustments out of AOCI are included within Other (income)/expense, net, on the Statements of Consolidated Earnings.

(B) Reclassification adjustments out of AOCI are included in net pension (income)/expense (see Note 10). In fiscal 2020, reclassification includes $17.0 million of prior service credits which were recognized as a component of net pension (income)/expense as a result of the US pension plan freeze.

(C) During fiscal 2018, the Company adopted ASU 2018-02 and reclassified stranded tax effects attributable to the Act from AOCI to retained earnings. The fiscal 2018 Consolidated Balance Sheets reflect the reclassification out of accumulated other comprehensive (loss)/income into retained earnings.