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DERIVATIVES AND RISK MANAGEMENT (Tables) | 9 Months Ended
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May 31, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract] |
Commodity contract commitments | The following table provides information regarding the Company's commodity contract commitments as of May 31, 2017:
Commodity |  | Long/Short |  | Total
Aluminum |  | Long |  | 1,925 |  | MT
Aluminum |  | Short |  | 25 |  | MT
Copper |  | Long |  | 555 |  | MT
Copper |  | Short |  | 5,250 |  | MT
Zinc |  | Long |  | 7 |  | MT
_________________ MT = Metric Ton
Derivatives not designated as hedging instruments | The following tables summarize activities related to the Company's derivative instruments and hedged items recognized in the unaudited condensed consolidated statements of earnings:
|  |  |  | Three Months Ended May 31, |  | Nine Months Ended May 31,
Derivatives Not Designated as Hedging Instruments (in thousands) |  | Location |  | 2017 |  | 2016 |  | 2017 |  | 2016
Commodity |  | Cost of goods sold |  | $ | 1,654 |  |  | $ | 224 |  |  | $ | (3,121 | ) |  | $ | 2,172 |
Foreign exchange |  | Net sales |  | (2 | ) |  | — |  |  | (2 | ) |  | (4 | )
Foreign exchange |  | Cost of goods sold |  | (5 | ) |  | (9 | ) |  | (38 | ) |  | 72 |
Foreign exchange |  | SG&A expenses |  | (1,076 | ) |  | (6,304 | ) |  | 2,295 |  |  | 9,410 |
Gain (loss) before income taxes |  |  |  | $ | 571 |  |  | $ | (6,089 | ) |  | $ | (866 | ) |  | $ | 11,650 |
Derivatives designated as fair value hedging instruments | Hedged items relate to firm commitments on commercial sales and purchases and capital expenditures.
|  | Location of gain (loss) recognized in income on derivatives |  | Amount of gain (loss) recognized in income on derivatives for the three months ended May 31, |  | Location of gain (loss) recognized in income on related hedged items |  | Amount of gain (loss) recognized in income on related hedge items for the three months ended May 31,
|  | 2017 |  | 2016 |  |  | 2017 |  | 2016
Foreign exchange |  | Net sales |  | $ | (102 | ) |  | $ | (122 | ) |  | Net sales |  | $ | 102 |  |  | $ | 122 |
Foreign exchange |  | Cost of goods sold |  | 1,042 |  |  | 901 |  |  | Cost of goods sold |  | (1,042 | ) |  | (901 | )
Gain (loss) before income taxes |  |  |  | $ | 940 |  |  | $ | 779 |  |  |  |  | $ | (940 | ) |  | $ | (779 | )
|  | Location of gain (loss) recognized in income on derivatives |  | Amount of gain (loss) recognized in income on derivatives for the nine months ended May 31, |  | Location of gain (loss) recognized in income on related hedged items |  | Amount of gain (loss) recognized in income on related hedge items for the nine months ended May 31,
|  | 2017 |  | 2016 |  |  | 2017 |  | 2016
Foreign exchange |  | Net sales |  | $ | (58 | ) |  | $ | (39 | ) |  | Net sales |  | $ | 58 |  |  | $ | 39 |
Foreign exchange |  | Cost of goods sold |  | 435 |  |  | 90 |  |  | Cost of goods sold |  | (435 | ) |  | (90 | )
Gain (loss) before income taxes |  |  |  | $ | 377 |  |  | $ | 51 |  |  |  |  | $ | (377 | ) |  | $ | (51 | )
Effective portion of derivatives designated as cash flow hedging instruments recognized In accumulated other comprehensive income (loss) |
Effective Portion of Derivatives Designated as Cash Flow Hedging Instruments Recognized in AOCI (Loss) (in thousands) |  | Three Months Ended May 31, |  | Nine Months Ended May 31,
| 2017 |  | 2016 |  | 2017 |  | 2016
Commodity |  | $ | (9 | ) |  | $ | (56 | ) |  | $ | 208 |  |  | $ | (280 | )
Foreign exchange |  | 263 |  |  | 40 |  |  | 488 |  |  | 749 |
Gain (loss), net of income taxes |  | $ | 254 |  |  | $ | (16 | ) |  | $ | 696 |  |  | $ | 469 |
Derivative assets | The fair value of the Company's derivative instruments on the unaudited condensed consolidated balance sheets was as follows:
Derivative Assets (in thousands) |  | May 31, 2017 |  | August 31, 2016
Commodity — designated for hedge accounting |  | $ | 13 |  |  | $ | 4 |
Commodity — not designated for hedge accounting |  | 324 |  |  | 584 |
Foreign exchange — designated for hedge accounting |  | 606 |  |  | 1,398 |
Foreign exchange — not designated for hedge accounting |  | 2,374 |  |  | 750 |
Derivative assets (other current assets)* |  | $ | 3,317 |  |  | $ | 2,736 |
Derivative liabilities |
Derivative Liabilities (in thousands) |  | May 31, 2017 |  | August 31, 2016
Commodity — designated for hedge accounting |  | $ | — |  |  | $ | 5 |
Commodity — not designated for hedge accounting |  | 238 |  |  | 117 |
Foreign exchange — designated for hedge accounting |  | 101 |  |  | 902 |
Foreign exchange — not designated for hedge accounting |  | 1,805 |  |  | 1,161 |
Derivative liabilities (accrued expenses and other payables)* |  | $ | 2,144 |  |  | $ | 2,185 |
_________________ * Derivative assets and liabilities do not include the hedged items designated as fair value hedges.

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