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Summary Of Significant Accounting Policies | 6 Months Ended
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Dec. 31, 2020
Accounting Policies [Abstract] |
Summary Of Significant Accounting Policies | Summary of Significant Accounting Policies Basis of Presentation The accompanying unaudited condensed consolidated financial statements include the accounts of Lancaster Colony Corporation and our wholly-owned subsidiaries, collectively referred to as “we,” “us,” “our,” “registrant” or the “Company” and have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and SEC Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In our opinion, the interim condensed consolidated financial statements reflect all adjustments necessary for a fair presentation of the results of operations and financial position for such periods. All such adjustments reflected in the interim condensed consolidated financial statements are considered to be of a normal recurring nature. Intercompany transactions and accounts have been eliminated in consolidation. The results of operations for any interim period are not necessarily indicative of results for the full year. Accordingly, these condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto contained in our 2020 Annual Report on Form 10-K. Unless otherwise noted, the term “year” and references to a particular year pertain to our fiscal year, which begins on July 1 and ends on June 30; for example, 2021 refers to fiscal 2021, which is the period from July 1, 2020 to June 30, 2021. Deferred Software Costs We capitalize certain costs related to hosting arrangements that are service contracts (cloud computing arrangements). Capitalized costs are included in Other Current Assets or Other Noncurrent Assets and are amortized on a straight-line basis over the estimated useful life. For the six months ended December 31, 2020, we capitalized $2.8 million of deferred software costs related to cloud computing arrangements. Property, Plant and Equipment Property, plant and equipment are recorded at cost, except for those acquired as part of a business combination, which are recorded at fair value at the time of purchase. We use the straight-line method of computing depreciation for financial reporting purposes based on the estimated useful lives of the corresponding assets. Purchases of property, plant and equipment included in Accounts Payable and excluded from the property additions and the change in accounts payable in the Condensed Consolidated Statements of Cash Flows were as follows:
| December 31,
| 2020 |  | 2019
Construction in progress in Accounts Payable | $ | 3,415 |  |  | $ | 8,810 |
Accrued Compensation and Employee Benefits Accrued compensation and employee benefits included in Accrued Liabilities was $21.6 million and $32.8 million at December 31, 2020 and June 30, 2020, respectively. Accrued Distribution Accrued distribution included in Accrued Liabilities was $9.7 million and $7.1 million at December 31, 2020 and June 30, 2020, respectively. Earnings Per Share Earnings per share (“EPS”) is computed based on the weighted average number of shares of common stock and common stock equivalents (restricted stock and stock-settled stock appreciation rights) outstanding during each period. Unvested shares of restricted stock granted to employees are considered participating securities since employees receive nonforfeitable dividends prior to vesting and, therefore, are included in the earnings allocation in computing EPS under the two-class method. Basic EPS excludes dilution and is computed by dividing income available to common shareholders by the weighted average number of common shares outstanding during the period. Diluted EPS is computed by dividing income available to common shareholders by the diluted weighted average number of common shares outstanding during the period, which includes the dilutive potential common shares associated with nonparticipating restricted stock and stock-settled stock appreciation rights. Basic and diluted net income per common share were calculated as follows:
| Three Months Ended December 31, |  | Six Months Ended December 31,
| 2020 |  | 2019 |  | 2020 |  | 2019
Net income | $ | 44,630 |  |  | $ | 43,424 |  |  | $ | 81,709 |  |  | $ | 84,169 |
Net income available to participating securities | (94) |  |  | (68) |  |  | (173) |  |  | (133) |
Net income available to common shareholders | $ | 44,536 |  |  | $ | 43,356 |  |  | $ | 81,536 |  |  | $ | 84,036 |
Weighted average common shares outstanding – basic | 27,479 |  |  | 27,443 |  |  | 27,470 |  |  | 27,443 |
Incremental share effect from: |  |  |  |  |  |  |
Nonparticipating restricted stock | 2 |  |  | 2 |  |  | 3 |  |  | 2 |
Stock-settled stock appreciation rights | 37 |  |  | 44 |  |  | 34 |  |  | 58 |
Weighted average common shares outstanding – diluted | 27,518 |  |  | 27,489 |  |  | 27,507 |  |  | 27,503 |
Net income per common share – basic | $ | 1.62 |  |  | $ | 1.58 |  |  | $ | 2.97 |  |  | $ | 3.06 |
Net income per common share – diluted | $ | 1.62 |  |  | $ | 1.58 |  |  | $ | 2.96 |  |  | $ | 3.06 |
Accumulated Other Comprehensive Loss The following table presents the amounts reclassified out of accumulated other comprehensive loss by component:
| Three Months Ended December 31, |  | Six Months Ended December 31,
| 2020 |  | 2019 |  | 2020 |  | 2019
Accumulated other comprehensive loss at beginning of period | $ | (11,976) |  |  | $ | (10,238) |  |  | $ | (12,070) |  |  | $ | (10,308) |
Defined Benefit Pension Plan Items: |  |  |  |  |  |  |
Amortization of unrecognized net loss | 173 |  |  | 143 |  |  | 346 |  |  | 286 |
Postretirement Benefit Plan Items: |  |  |  |  |  |  |
Amortization of unrecognized net gain | (5) |  |  | (6) |  |  | (10) |  |  | (13) |
Amortization of prior service credit | (46) |  |  | (46) |  |  | (91) |  |  | (91) |
Total other comprehensive income, before tax | 122 |  |  | 91 |  |  | 245 |  |  | 182 |
Total tax expense | (28) |  |  | (22) |  |  | (57) |  |  | (43) |
Other comprehensive income, net of tax | 94 |  |  | 69 |  |  | 188 |  |  | 139 |
Accumulated other comprehensive loss at end of period | $ | (11,882) |  |  | $ | (10,169) |  |  | $ | (11,882) |  |  | $ | (10,169) |
Significant Accounting Policies There were no changes to our Significant Accounting Policies from those disclosed in our 2020 Annual Report on Form 10-K. Recently Issued Accounting Standards There were no recently issued accounting standards that will impact our consolidated financial statements. Recently Adopted Accounting Standards In August 2018, the Financial Accounting Standards Board issued new accounting guidance related to the disclosure requirements for fair value measurements. The guidance removes, modifies and adds disclosures related to fair value. The amendments on changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and the narrative description of measurement uncertainty should be applied prospectively for only the most recent interim or annual period presented in the initial fiscal year of adoption. All other amendments should be applied retrospectively to all periods presented upon their effective date. We adopted the new guidance on July 1, 2020. As the guidance only relates to disclosures, there was no impact on our financial position or results of operations. See fair value disclosures in Note 2.

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- Definition The entire disclosure for all significant accounting policies of the reporting entity. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -URI http://asc.fasb.org/topic&trid=2122369 + Details
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