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Investments in Nonconsolidated Affiliates
 12 Months Ended
May 31, 2014
Equity Method Investments and Joint Ventures [Abstract]  
Equity Method Investments and Joint Ventures Disclosure
Investments in Nonconsolidated Affiliates

The company had an ownership interest in four nonconsolidated affiliates at May 31, 2014. These equity method investments were acquired through the Maharam business combination. Refer to the company's ownership percentages shown below:
Ownership Interest
May 31, 2014
June 1, 2013
Kvadrat Maharam Arabia DMCC
50.0%
50.0%
Kvadrat Maharam Pty Limited
50.0%
50.0%
Kvadrat Maharam Turkey JSC
50.0%
50.0%
Danskina B.V.
50.0%
50.0%


The Kvadrat Maharam nonconsolidated affiliates are distribution entities that are engaged in selling decorative upholstery, drapery, and wall covering products. Danskina B.V. is a manufacturer and distributor of designer rugs and floor covering products.

At May 31, 2014, the company's investment value in Kvadrat Maharam Pty was $2.3 million more than the company's proportionate share of the underlying net assets ($2.5 million more at June 1, 2013). This difference was driven by a step-up in fair value of the investment in Kvadrat Maharam Pty, stemming from the Maharam business combination. This amount is considered to be a permanent basis difference.

At May 31, 2014, the company's investment value in Danskina B.V. was $1.1 million more than the company's proportionate share of the underlying net assets ($1.1 million more at June 1, 2013). This amount represents the difference in value between the capital contribution made to the joint venture by Maharam and the proportionate share of equity received. This amount is considered to be a permanent basis difference.

The company's investment in its nonconsolidated affiliates was $4.1 million at May 31, 2014 and $4.2 million at June 1, 2013. The company's proportionate share of equity earnings from these companies was $0.1 million for the year ended May 31, 2014 and $(0.1) million for the year ended June 1, 2013.

For the year ended May 31, 2014 and June 1, 2013, the purchases from and sales to nonconsolidated affiliates were immaterial. At May 31, 2014 and June 1, 2013, balances due to and from nonconsolidated affiliates were also immaterial.