IMMATERIAL ERROR CORRECTIONS

During the financial closing process for the fourth quarter of fiscal year 2016, the Company determined that certain consolidated financial statement amounts were not accounted for correctly in prior periods. The Company has evaluated these errors together with errors identified in prior periods and concluded that they were not material individually or in the aggregate to any of its previously issued annual and interim financial statements. However, the financial statements included herein have been revised to correct for the impact of these items.

The Company has corrected the relevant financial information from previous reporting periods contained in these financial statements. The immaterial error corrections identified were primarily related to a misclassification of credit card fees from Other Expense to Sales and Marketing (refer to the tables below for the impact in each period), intercompany foreign exchange losses (cumulative impact of approximately $0.7 million), research and development expenses (cumulative impact of approximately $0.4 million), lease expense (cumulative impact of approximately $0.3 million) and other individually immaterial items. The impacts of these revisions are shown in the tables below:



	Year ended May 31, 2015
	As previously reported			Adjustments			As revised
Net sales	$	356,974		$	(440	)	$	356,534
Cost of sales	180,085			653			180,738
Gross profit	176,889			(1,093		)	175,796
Research and development	26,931			(337		)	26,594
Sales and marketing	80,623			2,597			83,220
General and administrative	29,871			(709		)	29,162
Amortization of intangibles	17,912			54			17,966
Change in fair value of contingent consideration	(8,196		)	100			(8,096		)
Acquisition, restructuring and other items, net	26,600			(343		)	26,257
Total operating expenses	177,883			1,362			179,245
Operating income	(994		)	(2,455		)	(3,449		)
Other expense	(3,812		)	2,323			(1,489		)
Total other income (expense)	(7,005		)	2,323			(4,682		)
Income (loss) before taxes	(7,999		)	(132		)	(8,131		)
Income tax (benefit) expense	(4,731		)	(12		)	(4,743		)
Net income (loss)	(3,268		)	(120		)	(3,388		)



	Year ended May 31, 2015
	As previously reported			Adjustments			As revised
Net income (loss)	$	(3,268	)	$	(120	)	$	(3,388	)
Foreign currency translation	(411		)	147			(264		)
Other comprehensive income (loss), before tax	(235		)	147			(88		)
Other comprehensive income (loss), net of tax	(299		)	147			(152		)
Total comprehensive income (loss), net of tax	(3,567		)	27			(3,540		)



	As of May 31, 2015
	As previously reported			Adjustments			As revised
Prepaid expenses and other	$	4,783		$	(651	)	$	4,132
Total current assets	151,449			(651		)	150,798
Property, Plant and Equipment, net	54,560			(110		)	54,450
Other Assets	5,288			110			5,398
Intangible Assets, net	181,806			(154		)	181,652
Deferred Income Taxes, long term	19,268			240			19,508
Total Assets	773,623			(565		)	773,058
Accounts payable	23,668			(620		)	23,048
Accrued liabilities	18,331			(222		)	18,109
Other current liabilities	—			200			200
Total current liabilities	61,157			(642		)	60,515
Total Liabilities	228,601			(642		)	227,959
Retained earnings	28,233			(658		)	27,575
Accumulated other comprehensive loss	(1,568		)	735			(833		)
Total Stockholders' Equity	545,022			77			545,099
Total Liabilities and Stockholders' Equity	773,623			(565		)	773,058



	Year ended May 31, 2015
	As previously reported			Adjustments			As revised
Net cash provided by (used in) operating activities	$	26,242		$	(557	)	$	25,685
Net cash provided by (used in) investing activities	(13,293		)	557			(12,736		)
Net cash provided by (used in) financing activities	(10,465		)	—			(10,465		)



	Year ended May 31, 2014
	As previously reported			Adjustments			As revised
Cost of sales	$	174,757		$	(506	)	$	174,251
Gross profit	179,668			506			180,174
Research and development	27,486			638			28,124
Sales and marketing	83,200			2,105			85,305
General and administrative	26,639			263			26,902
Amortization of intangibles	16,622			(60		)	16,562
Change in fair value of contingent consideration	(1,808		)	(100		)	(1,908		)
Acquisition, restructuring and other items, net	10,760			113			10,873
Total operating expenses	166,728			2,959			169,687
Operating income	12,940			(2,453		)	10,487
Other expense	(3,544		)	1,899			(1,645		)
Total other income (expense)	(7,200		)	1,899			(5,301		)
Income (loss) before taxes	5,740			(554		)	5,186
Income tax (benefit) expense	3,074			(235		)	2,839
Net income (loss)	2,666			(319		)	2,347



	Year ended May 31, 2014
	As previously reported		Adjustments			As revised
Net income (loss)	$	2,666	$	(319	)	$	2,347
Foreign currency translation	295		147			442
Other comprehensive income (loss), before tax	247		147			394
Other comprehensive income (loss), net of tax	265		147			412
Total comprehensive income (loss), net of tax	2,931		(172		)	2,759



	As of May 31, 2014
	As previously reported			Adjustments			As revised
Inventories	$	61,234		$	506		$	61,740
Prepaid expenses and other	5,471			(591		)	4,880
Total current assets	147,097			(85		)	147,012
Property, Plant and Equipment, net	66,590			(135		)	66,455
Other Assets	3,926			(120		)	3,806
Intangible Assets, net	205,256			(203		)	205,053
Deferred Income Taxes, long term	15,028			228			15,256
Total Assets	798,891			(315		)	798,576
Accrued liabilities	16,652			(712		)	15,940
Current portion of contingent consideration	10,918			(100		)	10,818
Other current liabilities	599			—			599
Total current liabilities	66,753			(812		)	65,941
Other Long Term Liabilities	84			447			531
Total Liabilities	262,056			(365		)	261,691
Retained earnings	31,501			(538		)	30,963
Accumulated other comprehensive loss	(1,269		)	588			(681		)
Total Stockholders' Equity	536,835			50			536,885
Total Liabilities and Stockholders' Equity	798,891			(315		)	798,576



	Year ended May 31, 2014
	As previously reported			Adjustments		As revised
Net cash provided by (used in) operating activities	$	24,681		$	—	$	24,681
Net cash provided by (used in) investing activities	(16,448		)	—		(16,448		)
Net cash provided by (used in) financing activities	(14,016		)	—		(14,016		)



	Year ended May 31, 2013
	As previously reported			Adjustments			As revised
Research and development	$	26,319		$	(228	)	$	26,091
Sales and marketing	76,121			1,443			77,564
General and administrative	26,186			(151		)	26,035
Amortization of intangibles	16,617			(18		)	16,599
Total operating expenses	162,226			1,046			163,272
Operating income	6,288			(1,046		)	5,242
Other expense	(2,707		)	1,296			(1,411		)
Total other income (expense)	(7,875		)	1,296			(6,579		)
Income (loss) before taxes	(1,587		)	250			(1,337		)
Income tax (benefit) expense	(376		)	90			(286		)
Net income (loss)	(1,211		)	160			(1,051		)



	As of May 31, 2013
	As previously reported			Adjustments			As revised
Property, Plant and Equipment, net	$	62,391		$	(16	)	$	62,375
Intangible Assets, net	214,673			(150		)	214,523
Deferred Income Taxes, long term	18,016			(7		)	18,009
Total Assets	790,734			(173		)	790,561
Accrued liabilities	16,356			(395		)	15,961
Total current liabilities	63,315			(395		)	62,920
Total Liabilities	264,632			(395		)	264,237
Retained earnings	28,835			(219		)	28,616
Accumulated other comprehensive loss	(1,534		)	441			(1,093		)
Total Stockholders' Equity	526,102			222			526,324
Total Liabilities and Stockholders' Equity	790,734			(173		)	790,561



	Year ended May 31, 2012
	As previously reported			Adjustments			As revised
Sales and marketing	$	64,505		$	1,252		$	65,757
Amortization of intangibles	9,309			84			9,393
Total operating expenses	129,217			1,336			130,553
Operating income	(3,908		)	(1,336		)	(5,244		)
Other expense	(2,096		)	1,105			(991		)
Total other income (expense)	(1,514		)	1,105			(409		)
Income (loss) before taxes	(5,422		)	(231		)	(5,653		)
Income tax (benefit) expense	(239		)	(83		)	(322		)
Net income (loss)	(5,183		)	(148		)	(5,331		)



	As of May 31, 2012
	As previously reported			Adjustments			As revised
Intangible Assets, net	$	147,363		$	(168	)	$	147,195
Deferred Income Taxes, long term	44,194			83			44,277
Total Assets	719,988			(85		)	719,903
Retained earnings	30,046			(379		)	29,667
Accumulated other comprehensive loss	(1,274		)	294			(980		)
Total Stockholders' Equity	523,391			(85		)	523,306
Total Liabilities and Stockholders' Equity	719,988			(85		)	719,903