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Accumulated Other Comprehensive Loss
 6 Months Ended
Dec. 31, 2017
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]  
Accumulated Other Comprehensive Loss
ACCUMULATED OTHER COMPREHENSIVE LOSS

Total accumulated other comprehensive loss (AOCL) consists of net income (loss) and other changes in equity from transactions and other events from sources other than shareholders. It includes postretirement benefit plan adjustments, currency translation adjustments and unrealized gains and losses from derivative instruments designated as cash flow hedges.

The components of, and changes in, AOCL were as follows, net of tax, for the six months ended December 31, 2017 (in thousands):
Attributable to Kennametal:
Postretirement benefit plans
Currency translation adjustment
Derivatives
Total
Balance, June 30, 2017
$
(189,038
)
$
(126,606
)
$
(8,048
)
$
(323,692
)
Other comprehensive income before reclassifications
(2,590
)
32,620

(905
)
29,125

Amounts reclassified from AOCL
3,348

—

1,403

4,751

Net current period other comprehensive
  income
758

32,620

498

33,876

AOCL, December 31, 2017
$
(188,280
)
$
(93,986
)
$
(7,550
)
$
(289,816
)
 
 
 
 
 
Attributable to noncontrolling interests:
 
 
 
 
Balance, June 30, 2017
$
—

$
(2,164
)
$
—

$
(2,164
)
Other comprehensive income before
  reclassifications
—

1,173

—

1,173

Net current period other comprehensive
  income
—

1,173

—

1,173

AOCL, December 31, 2017
$
—

$
(991
)
$
—

$
(991
)


The components of, and changes in, AOCL were as follows, net of tax, for the six months ended December 31, 2016 (in thousands):
Attributable to Kennametal:
Postretirement benefit plans
Currency translation adjustment
Derivatives
Total
Balance, June 30, 2016
$
(212,163
)
$
(131,212
)
$
(9,134
)
$
(352,509
)
Other comprehensive income before reclassifications
4,101

(39,625
)
1,480

(34,044
)
Amounts reclassified from AOCL
3,630

—

769

4,399

Net current period other comprehensive
  income
7,731

(39,625
)
2,249

(29,645
)
AOCL, December 31, 2016
$
(204,432
)
$
(170,837
)
$
(6,885
)
$
(382,154
)
 
 
 
 
 
Attributable to noncontrolling interests:
 
 
 
 
Balance, June 30, 2016
$
—

$
(3,446
)
$
—

$
(3,446
)
Other comprehensive income before
  reclassifications
—

(639
)
—

(639
)
Net current period other comprehensive
  income
—

(639
)
—

(639
)
AOCL, December 31, 2016
$
—

$
(4,085
)
$
—

$
(4,085
)

Reclassifications out of AOCL for the three and six months ended December 31, 2017 and 2016 consisted of the following (in thousands):
 
Three Months Ended December 31,
Six Months Ended December 31,
 
 
Details about AOCL components
2017
 
2016
2017
 
2016
 
Affected line item in the Income Statement
Gains and losses on cash flow hedges:
 
 
 
 
 
 
 
 
Forward starting interest rate swaps
$
566

 
$
545

$
1,132

 
$
1,090

 
Interest expense
Currency exchange contracts
768

 
(163
)
726

 
(321
)
 
Other expense, net
Total before tax
1,334

 
382

1,858

 
769

 
 
Tax impact
(327
)
 
—

(455
)
 
—

 
Provision for income taxes
Net of tax
$
1,007

 
$
382

$
1,403

 
$
769

 
 
 
 
 
 
 
 
 
 
 
Postretirement benefit plans:
 
 
 
 
 
 
 
 
Amortization of transition obligations
$
23

 
$
22

$
46

 
$
45

 
See note 9 for further details
Amortization of prior service (credit) cost
(47
)
 
(119
)
121

 
(237
)
 
See note 9 for further details
Recognition of actuarial losses
1,788

 
2,177

3,568

 
4,377

 
See note 9 for further details
Total before tax
1,764

 
2,080

3,735

 
4,185

 
 
Tax impact
(195
)
 
(284
)
(387
)
 
(555
)
 
Provision for income taxes
Net of tax
$
1,569

 
$
1,796

$
3,348

 
$
3,630

 
 


The amount of income tax allocated to each component of other comprehensive income (loss) for the three months ended December 31, 2017 and 2016:
 
 
2017
 
 
 
 
2016
 
(in thousands)
Pre-tax
Tax impact
Net of tax
 
 
Pre-tax
Tax impact
Net of tax
Unrealized (loss) gain on derivatives designated and qualified as cash flow hedges
$
(379
)
$
93

$
(286
)
 
 
$
1,606

$
—

$
1,606

Reclassification of unrealized loss on expired derivatives designated and qualified as cash flow hedges
1,334

(327
)
1,007

 
 
382

—

382

Unrecognized net pension and other postretirement benefit (loss) gain
(834
)
209

(625
)
 
 
4,639

(1,168
)
3,471

Reclassification of net pension and other postretirement benefit loss
1,764

(195
)
1,569

 
 
2,080

(284
)
1,796

Foreign currency translation adjustments
13,996

(72
)
13,924

 
 
(41,428
)
—

(41,428
)
Other comprehensive income (loss)
$
15,881

$
(292
)
$
15,589

 
 
$
(32,721
)
$
(1,452
)
$
(34,173
)

The amount of income tax allocated to each component of other comprehensive income (loss) for the six months ended December 31, 2017 and 2016:
 
 
2017
 
 
 
 
2016
 
(in thousands)
Pre-tax
Tax impact
Net of tax
 
 
Pre-tax
Tax impact
Net of tax
Unrealized (loss) gain on derivatives designated and qualified as cash flow hedges
$
(1,199
)
$
294

$
(905
)
 
 
$
1,480

$
—

$
1,480

Reclassification of unrealized loss on expired derivatives designated and qualified as cash flow hedges
1,858

(455
)
1,403

 
 
769

—

769

Unrecognized net pension and other postretirement benefit (loss) gain
(3,434
)
844

(2,590
)
 
 
5,401

(1,300
)
4,101

Reclassification of net pension and other postretirement benefit loss
3,735

(387
)
3,348

 
 
4,185

(555
)
3,630

Foreign currency translation adjustments
34,058

(265
)
33,793

 
 
(40,264
)
—

(40,264
)
Other comprehensive income (loss)
$
35,018

$
31

$
35,049

 
 
$
(28,429
)
$
(1,855
)
$
(30,284
)