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Investment in NEC TOKIN (Tables)
 9 Months Ended
Dec. 31, 2016
Equity Method Investments and Joint Ventures [Abstract]  
Reconciliation between NEC TOKIN's net loss and KEMET's equity investment loss
Summarized financial information for NEC TOKIN follows (amounts in thousands):
 
December 31,
2016
 
March 31,
2016
Current assets
$
248,128

 
$
240,427

Non-current assets
230,232

 
260,614

Current liabilities
160,648

 
179,360

Non-current liabilities
322,768

 
335,500


 
Quarters Ended December 31,
 
Nine-Month Periods Ended December 31,
 
2016
 
2015
 
2016
 
2015
Sales
$
127,845

 
$
111,594

 
$
374,944

 
$
343,686

Gross profit
28,886

 
24,610

 
82,487

 
74,333

Net income (loss) (1)
1,082

 
(17,867
)
 
5,444

 
(10,606
)

(1) The significant changes between the periods were due to the additional accrual of anti-trust litigation loss recorded during the quarter ended December 31, 2015; see discussion below.

A reconciliation between NEC TOKIN’s net income (loss) and KEC’s equity investment income (loss) follows (amounts in thousands):
 
Quarters Ended December 31,
 
Nine-Month Periods Ended December 31,
 
2016
 
2015
 
2016
 
2015
NEC TOKIN net income (loss)
$
1,082

 
$
(17,867
)
 
$
5,444

 
$
(10,606
)
KEC’s economic interest %
34
%
 
34
%
 
34
%
 
34
%
Equity income (loss) from NEC TOKIN before adjustments
368

 
(6,075
)
 
1,851

 
(3,606
)
 


 


 
 
 
 
Adjustments:


 


 
 
 
 
Amortization and depreciation
(562
)
 
(494
)
 
(1,686
)
 
(1,118
)
Inventory profit elimination
61

 
64

 
106

 
(34
)
Equity income (loss) from NEC TOKIN
$
(133
)
 
$
(6,505
)
 
$
271

 
$
(4,758
)
    
A reconciliation between NEC TOKIN’s net assets and KEC’s investment in NEC TOKIN follows (amounts in thousands):
 
December 31,
2016
 
March 31,
2016
Investment in NEC TOKIN
$
21,202

 
$
20,334

Purchase price accounting basis adjustments:
 
 
 
Property, plant and equipment (1)
3,014

 
3,365

Technology (1)
(8,657
)
 
(10,134
)
Long-term debt (1)
(1,238
)
 
(1,975
)
Goodwill
(7,250
)
 
(7,555
)
Indemnity asset for legal investigation
(8,500
)
 
(8,500
)
Inventory profit elimination (2)
265

 
371

Other
(553
)
 
(604
)
KEC’s 34% economic interest in NEC TOKIN’s net assets
$
(1,717
)
 
$
(4,698
)

(1) Amortized over the estimated lives.
(2) Adjusted each period for any activity.
Schedule of Related Party Transactions
Summarized transactions between KEC and NEC TOKIN are as follows (amounts in thousands):
 
Quarters Ended December 31,
 
Nine-Month Periods Ended December 31,
 
2016
 
2015
 
2016
 
2015
KEC’s sales to NEC TOKIN
$
4,814

 
$
5,020

 
$
13,096

 
$
14,350

NEC TOKIN’s sales to KEMET
2,350

 
1,157

 
6,112

 
4,747


 
December 31,
2016
 
March 31,
2016
Accounts receivable
$
2,989

 
$
5,220

Accounts payable
907

 
1,019

Management service agreement receivable (1)
638

 
748

(1) In accordance with the Stockholders’ Agreement, KEC entered into a management services agreement with NEC TOKIN to provide services for which KEC is being reimbursed.