XML 23 R27.htm IDEA: XBRL DOCUMENT
v3.19.3.a.u2

Goodwill | 6 Months Ended
--- | ---
Nov. 30, 2019
Goodwill And Intangible Assets Disclosure [Abstract] |
Goodwill | NOTE 18 — GOODWILL We account for goodwill and other intangible assets in accordance with the provisions of ASC 350 and account for business combinations using the acquisition method of accounting and, accordingly, the assets and liabilities of the entities acquired are recorded at their estimated fair values at the acquisition date. Goodwill represents the excess of the purchase price paid over the fair value of net assets acquired, including the amount assigned to identifiable intangible assets. We assess goodwill for impairment annually during the fourth quarter, or more frequently, if events and circumstances indicate impairment may have occurred. We test goodwill for impairment at the reporting unit level. Goodwill is assigned to reporting units that are expected to benefit from the synergies of the business combination as of the acquisition date. Once goodwill has been allocated to the reporting units, it no longer retains its identification with a particular acquisition and becomes identified with the reporting unit in its entirety. Accordingly, the fair value of the reporting unit as a whole is available to support the recoverability of its goodwill. We evaluate our reporting units when changes in our operating structure occur, and if necessary, reassign goodwill using a relative fair value allocation approach. Subsequent to our prior annual impairment test as of the first day of our fourth fiscal quarter, the composition of our reportable segments was revised, as further discussed in Note 17, “Segment Information.” Prior to implementing the revised segment reporting structure beginning in fiscal 2020, our previously disclosed Industrial Segment comprised two operating segments, the CPG operating segment and the PCG operating segment. Each of these operating segments comprised several reporting units, all of which were tested during our last annual goodwill impairment test during the fourth quarter of fiscal 2019. Also, in connection with our 2020 Map to Growth initiative, we realigned certain businesses and management structure within our Specialty segment. As such, our former Wood Finishes Group reporting unit was split into two separate reporting units: Guardian and Wood Finishes Group. Additionally, our former Kop-Coat Group reporting unit was split into two reporting units: Kop-Coat Industrial Protection Products and Kop-Coat Group. We performed a goodwill impairment test for each of the new reporting units upon the change in reportable segments, business realignment and management structure using a quantitative assessment. We concluded that the estimated fair values exceeded the carrying values for these new reporting units, and accordingly, no indications of impairment were identified as a result of these changes during the first quarter of fiscal 2020. The following table summarizes the changes in the carrying amount of goodwill, by reportable segment, for the periods presented:
|  | CPG |  |  | PCG |  |  | Industrial |  |  | Consumer |  |  | Specialty |  |  |  |  |
(In thousands) |  | Segment |  |  | Segment |  |  | Segment |  |  | Segment |  |  | Segment |  |  | Total |
Balance as of May 31, 2019 |  | $ | - |  |  | $ | - |  |  | $ | 526,419 |  |  | $ | 499,387 |  |  | $ | 219,956 |  |  | $ | 1,245,762 |
Allocation to new segments |  |  | 407,429 |  |  |  | 185,259 |  |  |  | (526,419 | ) |  |  |  |  |  |  | (66,269 | ) |  |  | - |
Acquisitions |  |  | 14,689 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 14,689 |
Translation adjustments |  |  | (3,578 | ) |  |  | (2,577 | ) |  |  |  |  |  |  | (3,568 | ) |  |  | (910 | ) |  |  | (10,633 | )
Balance as of August 31, 2019 |  |  | 418,540 |  |  |  | 182,682 |  |  |  | - |  |  |  | 495,819 |  |  |  | 152,777 |  |  |  | 1,249,818 |
Acquisitions |  |  |  |  |  |  | 3,023 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 3,023 |
Translation adjustments |  |  | 1,198 |  |  |  | 2,683 |  |  |  |  |  |  |  | 2,235 |  |  |  | 599 |  |  |  | 6,715 |
Balance as of November 30, 2019 |  | $ | 419,738 |  |  | $ | 188,388 |  |  | $ | - |  |  | $ | 498,054 |  |  | $ | 153,376 |  |  | $ | 1,259,556 |

X
- References No definition available. + Details
Name: | us-gaap_GoodwillAndIntangibleAssetsDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for goodwill. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -SubTopic 20 -URI http://asc.fasb.org/subtopic&trid=2144439 + Details
Name: | us-gaap_GoodwillDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration