Discontinued Operations

6 Months Ended

Jul. 31, 2016

Discontinued Operations And Disposal Groups [Abstract]

Discontinued Operations

10. Discontinued Operations

On August 17, 2015, we completed the sale of the Geoconstruction business segment to a subsidiary of Keller Foundations, LLC, a member of Keller Group plc (“Keller”), for a total purchase price of $47.7 million. As of July 31, 2016, we have approximately $1.5 million held in an escrow account, which is included in Other Assets in the Condensed Consolidated Balance Sheet, to be paid to us at a later date upon the satisfaction of certain conditions. In addition, as of July 31, 2016, we have $4.2 million of contingent consideration receivable, included in Other Assets in the Condensed Consolidated Balance Sheet. The contingent consideration represents our best estimate of our share in the profits of one of the contracts assumed by Keller.

The results of operations associated with the Geoconstruction business segment for the three and six months ended July 31, 2015 were as follows:

	Three Months			Six Months
	Ended July 31,			Ended July 31,
(in thousands)	2015			2015
Revenue	$	22,860		$	42,952
Cost of revenues (exclusive of depreciation and amortization,      shown below)		(13,710	)		(31,155	)
Selling, general and administrative expenses (exclusive      of depreciation and amortization, shown below)		(1,411	)		(3,018	)
Depreciation and amortization		(1,634	)		(3,239	)
Equity in earnings of affiliates		170			907
Other income (expense) items		772			684
Total operating income on discontinued operations      before income taxes		7,047			7,131
Income tax expense		(1,691	)		(1,759	)
Total income on discontinued operations	$	5,356		$	5,372

Prior to the completion of the sale, we owned 65% and 50% of Case-Bencor Joint Venture (Washington) and Case-Bencor Joint Venture (Iowa), respectively, which were both included as part of the Geoconstruction business segment as investments in affiliates, and were discontinued as a result of the sale. Summarized financial information of the entities, which were accounted for as equity method investments, for the three and six months ended July 31, 2015 was as follows:

	Three Months		Six Months
	Ended July 31,		Ended July 31,
(in thousands)	2015		2015
Income statement data:
Revenues	$	2,376	$	7,861
Gross profit		351		1,826
Net income (loss)		351		1,826

In accordance with our adoption of ASU 2014-08 effective February 1, 2015, additional disclosure relating to cash flow is required for discontinued operations. Cash flow data relating to the Geoconstruction business segment for the six months ended July 31, 2015 is presented below:

	Six Months Ended
(in thousands)	July 31, 2015
Cash flow data:
Depreciation and amortization	$	3,239
Capital expenditures		207