XML 52 R36.htm IDEA: XBRL DOCUMENT
v3.20.2

Fair Value of Financial Instruments (Tables) | 12 Months Ended
--- | ---
Jun. 30, 2020
Fair Value Disclosures [Abstract] |
Schedule of Assets and Liabilities Measured at Fair value | The following table summarizes the valuation of the Company's remaining assets and liabilities measured at fair value on a recurring basis as of June 30, 2020:
| Total |  | Quoted prices in active markets (Level 1) |  | Significant other observable inputs (Level 2) |  | Significant unobservable inputs (Level 3)
| (in thousands) |  |  |  |  |  |
Assets: |  |  |  |  |  |  |
Deferred compensation plan investments, current and non-current portion | $ | 27,159 |  |  | $ | 27,159 |  |  | $ | — |  |  | $ | — |
Total assets at fair value | $ | 27,159 |  |  | $ | 27,159 |  |  | $ | — |  |  | $ | — |
Liabilities: |  |  |  |  |  |  |
Deferred compensation plan investments, current and non-current portion | $ | 27,159 |  |  | $ | 27,159 |  |  | $ | — |  |  | $ | — |
Forward foreign currency exchange contracts | 26 |  |  | — |  |  | 26 |  |  | — |
Interest rate swap agreement | 9,433 |  |  | — |  |  | 9,433 |  |  | — |
Liability for contingent consideration | 46,334 |  |  | — |  |  | — |  |  | 46,334 |
Total liabilities at fair value | $ | 82,952 |  |  | $ | 27,159 |  |  | $ | 9,459 |  |  | $ | 46,334 |
The following table presents assets and liabilities measured at fair value on a recurring basis as of June 30, 2019:
| Total |  | Quoted prices in active markets (Level 1) |  | Significant other observable inputs (Level 2) |  | Significant unobservable inputs (Level 3)
| (in thousands) |  |  |  |  |  |
Assets: |  |  |  |  |  |  |
Deferred compensation plan investments, current and non-current portion | $ | 25,787 |  |  | $ | 25,787 |  |  | $ | — |  |  | $ | — |
Total assets at fair value | $ | 25,787 |  |  | $ | 25,787 |  |  | $ | — |  |  | $ | — |
Liabilities: |  |  |  |  |  |  |
Deferred compensation plan investments, current and non-current portion | $ | 25,787 |  |  | $ | 25,787 |  |  | $ | — |  |  | $ | — |
Forward foreign currency exchange contracts | 21 |  |  | — |  |  | 21 |  |  | — |
Interest rate swap agreement | 3,504 |  |  | — |  |  | 3,504 |  |  | — |
Liability for contingent consideration, current and non-current | 77,925 |  |  | — |  |  | — |  |  | 77,925 |
Total liabilities at fair value | $ | 107,237 |  |  | $ | 25,787 |  |  | $ | 3,525 |  |  | $ | 77,925 |
Schedule of Changes in Fair Value Of Contingent Consideration | The table below provides a summary of the changes in fair value of the Company's contingent considerations for the Intelisys earnout, which is measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the fiscal year ended June 30, 2020.
| June 30, 2020
| Worldwide Communications & Services Segment
| (in thousands)
Fair value at beginning of period | $ | 77,925 |
Payments | (38,532) |
Change in fair value | 6,941 |
Fair value at end of period | $ | 46,334 |
The table below provides a summary of the changes in fair value of the Company's contingent consideration for the Network1 and Intelisys earnouts for the fiscal year ended June 30, 2019. The final earnout payment due to former shareholders of Network1 was paid during the fiscal year ended June 30, 2019.
| June 30, 2019 |
| Worldwide Communications & Services Segment |
| (in thousands) |
Fair value at beginning of period | $ | 108,233 |  |
Payments | (45,796) |  |
Change in fair value | 15,200 |  |
Fluctuation due to foreign currency exchange | 288 |  |
Fair value at end of period | $ | 77,925 |  |
Valuation techniques and significant observable inputs used in recurring Level 3 fair value measurements for our contingent consideration liabilities as of June 30, 2020 and 2019 were as follows.
Reporting Period |  | Valuation Technique |  | Significant Unobservable Inputs |  | Weighted Average Rates(a)
June 30, 2020 |  | Discounted cash flow |  | Weighted average cost of capital |  | 3.0 | %
June 30, 2019 |  | Discounted cash flow |  | Weighted average cost of capital |  | 14.2 | %
|  |  |  | Adjusted EBITDA growth rate |  | 21.5 | %
(a) Weighted average rates identified for each significant unobservable input relate to the valuation of the Intelisys contingent consideration. Since the earnout period for Intelisys closed on June 30, 2020 the weighted average cost of capital represents the cost the debt. There is no EBITDA growth to report in the current year. |  |  |  |  |  |

X
- References No definition available. + Details
Name: | us-gaap_FairValueDisclosuresAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the fair value measurement of liabilities using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets), and gains or losses recognized in other comprehensive income (loss) and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs) by class of liability. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=117815213&loc=d3e19207-110258 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=117815213&loc=d3e19279-110258 + Details
Name: | us-gaap_FairValueLiabilitiesMeasuredOnRecurringBasisUnobservableInputReconciliationTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of assets and liabilities, including [financial] instruments measured at fair value that are classified in stockholders' equity, if any, that are measured at fair value on a recurring basis. The disclosures contemplated herein include the fair value measurements at the reporting date by the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3). + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=117815213&loc=d3e19207-110258 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=117815213&loc=d3e19207-110258 + Details
Name: | us-gaap_ScheduleOfFairValueAssetsAndLiabilitiesMeasuredOnRecurringBasisTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration