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Taxes (Tables) | 12 Months Ended
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May 31, 2023
Income Tax And Non Income Tax Disclosure [Abstract] |
Schedule of income from continuing operations | The components of Earnings (loss) before income taxes for the fiscal years ended May 31 were:
| 2023 |  | 2022 |  | 2021
United States | $ | 106.3 |  |  | $ | 76.9 |  |  | $ | (45.8) |
Non-United States |  | 6.1 |  |  |  | 12.8 |  |  |  | 27.6 |
Total | $ | 112.4 |  |  | $ | 89.7 |  |  | $ | (18.2) |
Schedule of income tax expense (benefit) | The provision (benefit) for income taxes for the fiscal years ended May 31 consisted of the following components:
| 2023 |  | 2022 |  | 2021
Current |  |  |  |  |  |  |  |
Federal | $ | 26.4 |  |  | $ | (2.1) |  |  | $ | 2.3 |
State and local |  | 1.6 |  |  |  | 0.6 |  |  |  | (0.3) |
Non-United States |  | 1.6 |  |  |  | 3.0 |  |  |  | 6.0 |
Total Current | $ | 29.6 |  |  | $ | 1.5 |  |  | $ | 8.0 |
Deferred |  |  |  |  |  |  |  |
Federal | $ | (6.6) |  |  | $ | 6.1 |  |  | $ | (10.9) |
State and local |  | 3.9 |  |  |  | 2.4 |  |  |  | (1.3) |
Non-United States |  | (1.0) |  |  |  | (1.3) |  |  |  | (3.1) |
Total Deferred | $ | (3.7) |  |  | $ | 7.2 |  |  | $ | (15.3) |
Total Current and Deferred | $ | 25.9 |  |  | $ | 8.7 |  |  | $ | (7.3) |
Schedule of effective income tax rate reconciliation | A reconciliation of the significant differences between the effective income tax rate and the federal statutory rate on Earnings (loss) before income taxes for the fiscal years ended May 31 was as follows:
| 2023 |  | 2022 |  | 2021
Computed federal statutory provision |  | 21.0 | % |  |  | 21.0 | % |  |  | 21.0 | %
State income tax provision, net of federal income tax benefit |  | 4.6 |  |  |  | 3.1 |  |  |  | (10.4) |
Difference in effective tax rates on earnings of foreign subsidiaries |  | 0.0 |  |  |  | (0.2) |  |  |  | 7.0 |
Rate differential on net operating loss carrybacks |  | — |  |  |  | — |  |  |  | 19.3 |
GILTI inclusion |  | 0.4 |  |  |  | — |  |  |  | (2.7) |
Foreign derived intangible income deduction |  | (1.7) |  |  |  | — |  |  |  | — |
Various tax credits |  | (1.5) |  |  |  | (1.9) |  |  |  | 6.5 |
Valuation allowances |  | — |  |  |  | 0.2 |  |  |  | 25.7 |
Uncertain positions |  | (0.8) |  |  |  | (8.1) |  |  |  | (14.6) |
Equity and other compensation |  | 2.9 |  |  |  | 1.2 |  |  |  | (8.7) |
Return to provision adjustments |  | (1.3) |  |  |  | (4.4) |  |  |  | — |
Other, net |  | (0.6) |  |  |  | (1.2) |  |  |  | (3.0) |
Effective tax rates |  | 23.0 | % |  |  | 9.7 | % |  |  | 40.1 | %
Total provision (benefit) for income taxes | $ | 25.9 |  |  | $ | 8.7 |  |  | $ | (7.3) |
Schedule of deferred tax assets and liabilities | The significant components for deferred income taxes for the fiscal years ended May 31 were as follows:
| 2023 |  | 2022
Deferred tax assets: |  |  |  |  |
Tax uniform capitalization | $ | 18.0 |  |  | $ | 9.8 |
Prepublication expenses |  | 1.4 |  |  |  | 0.6 |
Inventory reserves |  | 20.7 |  |  |  | 21.3 |
Allowance for credit losses |  | 2.2 |  |  |  | 4.0 |
Deferred revenue |  | 3.8 |  |  |  | 2.5 |
Stock based compensation |  | 4.5 |  |  |  | 8.0 |
Other reserves |  | 5.9 |  |  |  | 8.4 |
Postretirement, post employment and pension obligations |  | 2.2 |  |  |  | 2.3 |
Tax carryforwards |  | 25.2 |  |  |  | 35.2 |
Lease liabilities |  | 24.2 |  |  |  | 22.8 |
Other |  | 13.6 |  |  |  | 15.7 |
Gross deferred tax assets | $ | 121.7 |  |  | $ | 130.6 |
Valuation allowance |  | (18.1) |  |  |  | (23.1) |
Total deferred tax assets | $ | 103.6 |  |  | $ | 107.5 |
Deferred tax liabilities: |  |  |  |  |
Depreciation and amortization |  | (45.2) |  |  |  | (66.4) |
Lease right-of-use assets |  | (21.8) |  |  |  | (20.7) |
Research and development costs capitalized |  | (12.1) |  |  |  | — |
Other |  | (3.5) |  |  |  | (2.5) |
Total deferred tax liability | $ | (82.6) |  |  | $ | (89.6) |
Total net deferred tax assets | $ | 21.0 |  |  | $ | 17.9 |
Schedule of unrecognized tax benefits rollforward | The table below presents a reconciliation of the unrecognized tax benefits for the fiscal years indicated:
Gross unrecognized benefits at May 31, 2020 | $ | 10.2 |
Decreases related to prior year tax positions |  | (0.2) |
Increase related to prior year tax positions |  | 2.6 |
Increases related to current year tax positions |  | 0.2 |
Settlements during the period |  | (0.2) |
Lapse of statute of limitation |  | (0.3) |
Gross unrecognized benefits at May 31, 2021 | $ | 12.3 |
Decreases related to prior year tax positions |  | (6.8) |
Increase related to prior year tax positions |  | 0.5 |
Increases related to current year tax positions |  | 0.6 |
Settlements during the period |  | (3.5) |
Lapse of statute of limitation |  | — |
Gross unrecognized benefits at May 31, 2022 | $ | 3.1 |
Decreases related to prior year tax positions |  | (1.7) |
Increase related to prior year tax positions |  | 0.1 |
Increases related to current year tax positions |  | 0.5 |
Settlements during the period |  | — |
Lapse of statute of limitation |  | — |
Gross unrecognized benefits at May 31, 2023 | $ | 2.0 |

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