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Note 19 - Discontinued Operations

12 Months Ended

Jun. 30, 2022

Discontinued Operations [Member]

Notes to Financial Statements

Disposal Groups, Including Discontinued Operations, Disclosure [Text Block]

19. DISCONTINUED OPERATIONS

In pursuing our business strategy, the Company continues to divest certain businesses and record activities of these businesses as discontinued operations.

During the third quarter of fiscal 2020, in order to focus its financial assets and managerial resources on its remaining portfolio of businesses, the Company entered into a definitive agreement to sell the Refrigerated Solutions Group, consisting of the Master-Bilt and NorLake operating segments, to Ten Oaks Group for a cash purchase price of $10.6 million, subject to post-closing adjustments and various transaction fees. The Refrigerated Solutions Group was a part of the Company's Food Service Equipment segment, and manufactured refrigerated cabinets and walk-ins for customers food service and retail end markets.

The transaction closed on April 16, 2020 and resulted in a pre-tax loss of $20.0 million less related transaction expenses of $1.9 million. The Company reported a tax benefit related to the loss on sale of $2.6 million.

Activity related to the Refrigerated Solutions Group and other discontinued operations for the years ended is as follows (in thousands):

		*Year Ended June 30,*
		*2022*				*2021*				*2020*
Net sales		$	-			$	-			$	111,841

Gain (loss) on sale of business		$	-			$	-			$	(19,996	)
Transaction fees			-				-				(1,933	)
Profit (loss) before taxes		$	(113	)		$	(2,620	)		$	(23,439	)
Benefit (provision) for taxes			24				550				2,613
Net income (loss) from discontinued operations		$	(89	)		$	(2,070	)		$	(20,826	)