Discontinued operations (Notes)

6 Months Ended

Jul. 31, 2016

Discontinued operations

Discontinued Operations [Text Block]

Discontinued operations. On January 29, 2016, the Company sold certain assets and liabilities of its TDC Filter business based in Bolingbrook, Illinois to the Industrial Air division of CLARCOR. On January 29, 2016, the Company also sold its Nordic Air Filtration, Denmark and Nordic Air Filtration, United Arab Emirates ("U.A.E.") businesses to Hengst Holding GmbH. The aggregated sales price of these filtration businesses was $22.0 million, including cash proceeds of $18.4 million, of which $0.5 million is held in escrow until July 2017.

In May, 2016, the Company completed the sale of its Bolingbrook Filtration manufacturing facility to a third party at a price of $7.1 million. The sale generated approximately$1.9 million in net cash after expenses and mortgage payoffs.

The Company is currently engaged in liquidating the remaining assets of the Filtration bag business in Winchester, Virginia. The Filtration business segment is reported as discontinued operations in the consolidated financial statements, and the notes to consolidated financial statements have been revised to conform to the current year reporting. There was $0.7 million of tax expense for the three and six months ended July 31, 2016. Results from discontinued operations net of tax for the three and six months ended July 31,2016 and 2015 were as follows:

	Three Months Ended July 31,					Six Months Ended July 31,
	2016		2015			2016			2015
Net sales		$3,276		$14,914			$10,467			$32,311
Gain on disposal of discontinued operations		$1,605		$—			$2,472			$—
Income (loss) from discontinued operations		$423		($35	)	(660		)	(1,338		)
Income (loss) from discontinued operations before income taxes	2,028		(35		)	1,812			(1,338		)
Income tax expense	719		88			703			88
Income (loss) from discontinued operations, net of tax		$1,309		($123	)		$1,109			($1,426	)

Components of assets and liabilities from discontinued operations consist of the following:

	July 31, 2016		January 31, 2016
Current assets
Cash and cash equivalents		$—		$5
Trade accounts receivable, net	597		5,720
Inventories, net	—		2,000
Other assets	212		1,552
Property, plant and equipment, net of accumulated depreciation	1,739		6,456
Total assets from discontinued operations		$2,548		$15,733
Current liabilities
Trade accounts payable, accrued expenses and other		$1,320		$7,514
Current maturities of long-term debt	—		5,322
Other liabilities	—		2,629
Total liabilities from discontinued operations		$1,320		$15,465

Cash flows from discontinued operations:

	Six Months Ended July 31,
	2016			2015
Net cash (used in) provided by discontinued operating activities		($208	)		$224
Net cash provided by (used in) discontinued investing activities	7,574			(1,295		)
Net cash (used in) provided by discontinued financing activities	(7,365		)	754