Pensions and Other Postretirement Benefits (Tables)

12 Months Ended

Apr. 30, 2018

The following table summarizes the components of net periodic benefit cost and the change in accumulated other comprehensive income (loss) related to the defined benefit pension and other postretirement plans.



	Defined Benefit Pension Plans									Other Postretirement Benefits
Year Ended April 30,	2018			2017			2016			2018			2017			2016
Service cost	$	5.2		$	12.7		$	17.8		$	2.0		$	2.3		$	2.3
Interest cost	21.6			25.3			27.7			2.1			2.6			2.8
Expected return on plan assets	(28.8		)	(29.3		)	(32.9		)	—			—			—
Amortization of prior service cost (credit)	0.9			1.1			0.7			(1.4		)	(1.5		)	(1.1		)
Amortization of net actuarial loss (gain)	11.5			13.8			10.9			(0.3		)	(0.2		)	(0.3		)
Curtailment loss (gain)	—			—			(6.5		)	—			—			(0.3		)
Settlement loss (gain)	2.3			(0.7		)	—			—			—			—
Net periodic benefit cost	$	12.7		$	22.9		$	17.7		$	2.4		$	3.2		$	3.4

Net change for the year in accumulated OCI before taxes



Other changes in plan assets and benefit liabilities recognized in accumulated other comprehensive income (loss) before income taxes:
Prior service credit (cost) arising during the year	$	—		$	2.1		$	(5.3	)	$	(0.2	)	$	3.0		$	—
Net actuarial gain (loss) arising during the year	3.5			1.5			(43.3		)	5.5			2.3			—
Amortization of prior service cost (credit)	0.9			1.1			0.7			(1.4		)	(1.5		)	(1.1		)
Amortization of net actuarial loss (gain)	11.5			13.8			10.9			(0.3		)	(0.2		)	(0.3		)
Curtailment loss (gain)	—			28.8			(6.5		)	—			0.1			(0.3		)
Settlement loss (gain)	2.3			(0.7		)	—			—			—			—
Foreign currency translation	(1.8		)	2.5			0.8			(0.1		)	—			—
Net change for year	$	16.4		$	49.1		$	(42.7	)	$	3.5		$	3.7		$	(1.7	)

Weighted-average assumptions used in determining net periodic benefit costs



Weighted-average assumptions used in determining net periodic benefit costs:
U.S. plans:
Discount rate used to determine benefit obligation	3.95	%	3.85	%	4.06	%	3.86	%	3.80	%	4.04	%
Discount rate used to determine service cost	4.20		3.85		4.06		4.06		3.80		4.04
Discount rate used to determine interest cost	3.38		3.85		4.06		3.24		3.80		4.04
Expected return on plan assets	6.27		6.27		6.58		—		—		—
Rate of compensation increase	3.78		3.96		4.06		—		—		—
Canadian plans:
Discount rate used to determine benefit obligation	3.22	%	3.60	%	3.51	%	3.19	%	3.50	%	3.50	%
Discount rate used to determine service cost	3.39		3.60		3.51		3.70		3.50		3.50
Discount rate used to determine interest cost	2.60		3.60		3.51		2.58		3.50		3.50
Expected return on plan assets	5.00		5.25		5.65		—		—		—
Rate of compensation increase	3.00		3.00		3.00		—		—		—

Combined status of the plans

The following table sets forth the combined status of the plans as recognized in the Consolidated Balance Sheets.



	Defined Benefit Pension Plans						Other Postretirement Benefits
April 30,	2018			2017			2018			2017
Change in benefit obligation:
Benefit obligation at beginning of year	$	677.3		$	745.9		$	70.7		$	75.9
Service cost	5.2			12.7			2.0			2.3
Interest cost	21.6			25.3			2.1			2.6
Amendments	—			—			0.2			(3.0		)
Actuarial loss (gain)	(10.8		)	6.7			(5.5		)	(2.3		)
Benefits paid	(36.0		)	(43.8		)	(4.3		)	(3.9		)
Foreign currency translation adjustments	5.8			(7.8		)	0.7			(0.8		)
Curtailment	—			(30.9		)	—			(0.1		)
Settlement	(23.4		)	(30.8		)	—			—
Benefit obligation at end of year	$	639.7		$	677.3		$	65.9		$	70.7
Change in plan assets:
Fair value of plan assets at beginning of year	$	489.2		$	505.6		$	—		$	—
Actual return on plan assets	21.5			37.4			—			—
Company contributions	39.6			28.7			4.3			3.9
Benefits paid	(36.0		)	(43.8		)	(4.3		)	(3.9		)
Settlement	(23.4		)	(30.8		)	—			—
Foreign currency translation adjustments	6.1			(7.9		)	—			—
Fair value of plan assets at end of year	$	497.0		$	489.2		$	—		$	—
Funded status of the plans	$	(142.7	)	$	(188.1	)	$	(65.9	)	$	(70.7	)
Defined benefit pensions	$	(144.1	)	$	(189.8	)	$	—		$	—
Other noncurrent assets	9.5			5.7			—			—
Accrued compensation	(8.1		)	(4.0		)	(4.0		)	(4.1		)
Other postretirement benefits	—			—			(61.9		)	(66.6		)
Net benefit liability	$	(142.7	)	$	(188.1	)	$	(65.9	)	$	(70.7	)

Amounts recognized in accumulated other comprehensive income (loss) before taxes

The following table summarizes amounts recognized in accumulated other comprehensive income (loss) in the Consolidated Balance Sheets, before income taxes.



	Defined Benefit Pension Plans						Other Postretirement Benefits
April 30,	2018			2017			2018		2017
Net actuarial gain (loss)	$	(150.9	)	$	(166.4	)	$	13.6	$	8.5
Prior service credit (cost)	(4.7		)	(5.6		)	9.1		10.7
Total recognized in accumulated other comprehensive income (loss)	$	(155.6	)	$	(172.0	)	$	22.7	$	19.2

Assumptions used in determining the benefit obligations

The following table sets forth the weighted-average assumptions used in determining the benefit obligations.



	Defined Benefit Pension Plans				Other Postretirement Benefits
April 30,	2018		2017			2018		2017
U.S. plans:
Discount rate	4.17	%	3.95	%		4.13	%	3.86	%
Rate of compensation increase	3.59		4.15			—		—
Canadian plans:
Discount rate	3.57	%	3.22	%		3.55	%	3.16	%
Rate of compensation increase	3.00		3.00			—		—

One-percentage point annual change in the assumed health care cost

A one percentage point annual change in the assumed health care cost trend rate would have the following effect as of April 30, 2018:



	One Percentage Point
	Increase			Decrease
Effect on total service and interest cost components		$	—		$	0.1
Effect on benefit obligation		1.0			1.1

Company's Canadian pension and other postretirement benefit plans

The following table sets forth selective information pertaining to our Canadian pension and other postretirement benefit plans, which is included in the consolidated information presented on pages 68 and 69.



	Defined Benefit Pension Plans						Other Postretirement Benefits
Year Ended April 30,	2018			2017			2018			2017
Benefit obligation at end of year	$	87.6		$	89.8		$	7.3		$	9.4
Fair value of plan assets at end of year	96.4			94.8			—			—
Funded status of the plans	$	8.8		$	5.0		$	(7.3	)	$	(9.4	)
Components of net periodic benefit cost:
Service cost	$	0.2		$	0.3		$	—		$	—
Interest cost	2.4			3.2			0.3			0.3
Expected return on plan assets	(5.0		)	(4.7		)	—			—
Amortization of net actuarial loss (gain)	0.8			1.1			—			—
Net periodic benefit cost (credit)	$	(1.6	)	$	(0.1	)	$	0.3		$	0.3
Changes in plan assets:
Company contributions	$	0.9		$	3.1		$	0.5		$	0.5
Benefits paid	(6.8		)	(6.6		)	(0.5		)	(0.5		)
Actual return on plan assets	1.5			10.2			—			—
Foreign currency translation	6.0			(7.9		)	—			—

Benefit obligations in excess of fair value of plan assets

The following table sets forth additional information related to our defined benefit pension plans.



	April 30,
	2018		2017
Accumulated benefit obligation for all pension plans	$	627.9	$	659.6
Plans with an accumulated benefit obligation in excess of plan assets:
Accumulated benefit obligation	$	541.3	$	570.6
Fair value of plan assets	400.6		394.4
Plans with a projected benefit obligation in excess of plan assets:
Projected benefit obligation	$	552.9	$	588.2
Fair value of plan assets	400.6		394.4

Major asset classes for the U.S. and Canadian defined benefit pension plans and fair value hierarchy levels

The following tables summarize the major asset classes for the U.S. and Canadian defined benefit pension plans and the levels within the fair value hierarchy for those assets measured at fair value.



	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)			Plan Assets at April 30, 2018
Cash and cash equivalents ^(A)		$	3.7		$	—		$	—		$	3.7
Equity securities:
U.S. ^(B)		94.8			1.9			—			96.7
International ^(C)		73.2			9.7			—			82.9
Fixed-income securities:
Bonds ^(D)		231.8			—			—			231.8
Fixed income ^(E)		53.0			—			—			53.0
Other types of investments ^(F)		—			16.8			3.2			20.0
Total financial assets measured at fair value		$	456.5		$	28.4		$	3.2		$	488.1
Total financial assets measured at net asset value ^(G)											8.9
Total plan assets											$	497.0



	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)			Plan Assets at April 30, 2017
Cash and cash equivalents ^(A)		$	2.7		$	—		$	—		$	2.7
Equity securities:
U.S. ^(B)		128.9			1.9			—			130.8
International ^(C)		81.4			10.5			—			91.9
Fixed-income securities:
Bonds ^(D)		168.5			—			—			168.5
Fixed income ^(E)		71.9			—			—			71.9
Other types of investments ^(F)		6.7			4.5			2.4			13.6
Total financial assets measured at fair value		$	460.1		$	16.9		$	2.4		$	479.4
Total financial assets measured at net asset value^(G)											9.8
Total plan assets											$	489.2

(A) This category includes money market holdings with maturities of three months or less and are classified as Level 1 assets. Based on the short-term nature of these assets, carrying value approximates fair value.

(B) This category is invested in a diversified portfolio of common stocks and index funds that primarily invest in U.S. stocks with broad market capitalization ranges similar to those found in the S&P 500 Index and/or the various Russell Indices and are traded on active exchanges. The Level 1 assets are valued using quoted market prices for identical securities in active markets. The Level 2 asset is comprised of a pooled fund that consists of equity securities traded on active exchanges.

(C) This category is invested primarily in common stocks and other equity securities traded on active exchanges of foreign issuers located outside the U.S. The fund invests primarily in developed countries, but may also invest in emerging markets. The Level 1 assets are valued using quoted market prices for identical securities in active markets. The Level 2 asset is comprised of a pooled fund that consists of equity securities traded on active exchanges.

(D) This category is primarily comprised of bond funds, which seek to duplicate the return characteristics of high-quality U.S. and foreign corporate bonds with a duration range of 10 to 13 years. In 2018, this category is further comprised of various U.S. Treasury Separate Trading of Registered Interest and Principal (“STRIP”) holdings, with wide-ranging maturity dates. The Level 1 assets are valued using quoted market prices for identical securities in active markets.

(E) This category is comprised of fixed-income funds that invest primarily in government-related bonds of non-U.S. issuers and include investments in the Canadian, as well as emerging, markets. The Level 1 assets are valued using quoted market prices for identical securities in active markets.

(F) This category is comprised of a real estate fund whereby the underlying investments are contained in the Canadian market and a private limited investment partnership in 2017, and in 2018, this category also included a common collective trust fund investing in direct commercial property funds. In 2017, the category included a dynamic asset allocation mutual fund, which was comprised of U.S. and global equities and fixed-income securities inclusive of derivatives within the asset mix. The dynamic asset allocation mutual fund was classified as a Level 1 asset, whereby the assets are valued using quoted market prices for identical securities in active markets. The real estate fund and the collective trust fund investing in direct commercial property are classified as a Level 2 asset, whereby the underlying securities are valued utilizing quoted market prices for identical securities in active markets and based on the quoted market prices of the underlying investments in the common collective trust, respectively. The private investment limited partnership is classified as a Level 3 asset. The investments in the partnership are valued at estimated fair value based on audited financial statements received from the general partner. The private investment limited partnership cannot be redeemed, and the return of principal is based on the liquidation of the underlying assets.

(G) This category is comprised of a private equity fund that consists primarily of limited partnership interests in corporate finance and venture capital funds. The fair value estimate of the private equity fund is based on the underlying funds’ net asset values further as a practical expedient equivalent to the Company’s defined benefit plan’s ownership interest in partners’ capital, whereby a proportionate share of the net assets is attributed and further corroborated by our review. The private equity fund is non-redeemable, and the return of principal is based on the liquidation of the underlying assets. In accordance with ASU 2015-07, the private equity fund is removed from the total financial assets measured at fair value and disclosed separately.

Roll Forward of activity for Level 3 assets

The following table presents a rollforward of activity for Level 3 assets.



	2018		2017
Balance at May 1,	$	2.4	$	3.2
Actual return on plan assets still held at reporting date	0.8		(0.8		)
Balance at April 30,	$	3.2	$	2.4