XML 189 R30.htm IDEA: XBRL DOCUMENT
v3.21.1

Rental Expense and Lease Commitments | 12 Months Ended
--- | ---
Mar. 31, 2021
Operating Leased Assets [Line Items] |
Leases of Lessee Disclosure [Text Block] | 18. Leases Transition In February 2016, the FASB issued ASU No. 2016-02, "Leases (Topic 842)" ("ASC 842"). ASC 842 requires the recognition of lease ROU assets and lease liabilities by lessees for those leases classified as operating leases and additional disclosures regarding the nature of the Company's leases, significant judgments made, and amounts recognized in the financial statements relating to those leases. The Company adopted this standard effective April 1, 2019 under the modified retrospective method whereas comparative period information is not restated. In addition, the Company elected the package of practical expedients which permits the Company to not reassess whether existing contracts are or contain leases, to not reassess the lease classification of any existing leases, and to not reassess initial direct costs for any existing leases. The Company also elected the practical expedient to not separate lease and non-lease components for all classes of underlying assets and made an accounting policy election to not record leases with an initial term of twelve months or less on the balance sheet for all classes of underlying assets. As a result of the adoption of ASC 842, the Company recognized an initial operating lease ROU assets of $35,553,000 on April 1, 2019 with a corresponding lease liability of the same amount. The standard did not materially impact the Company's Consolidated Statement of Operations or the Consolidated Statements of Cash Flows for the fiscal year ending March 31, 2020. Nature of leases The Company's leases are classified as operating leases and consist of manufacturing facilities, sales offices, distribution centers, warehouses, vehicles, and equipment. For leases with terms greater than twelve months, at lease commencement the Company recognizes a ROU asset and a lease liability. The initial lease liability is recognized at the present value of remaining lease payments over the lease term. Leases with an initial term of twelve months or less are not recorded on the Company's Consolidated Balance Sheet. The Company recognizes lease expense for operating leases on a straight-line basis over the lease term. Additionally, because the Company has elected to not separate lease and non-lease components, variable costs also include payments to the landlord for common area maintenance, real estate taxes, insurance, and other operating expenses. The Company's leases have lease terms ranging from 1 to 15 years, some of which include options to extend or terminate the lease. The exercise of lease renewal options is at the Company’s sole discretion. When deemed reasonably certain of exercise, the renewal options are included in the determination of the lease term. The Company’s lease agreements do not contain material residual value guarantees or any material restrictive covenants. As of March 31, 2021, the Company does not have any significant additional operating leases that have not yet commenced. Significant assumptions or judgments The discount rate implicit within each lease is generally not readily determinable, therefore, the Company uses its estimated incremental borrowing rate in determining the present value of lease payments. The incremental borrowing rate is determined based on the Company’s recent debt issuances, lease term, and the currency in which lease payments are made. The following table presents the weighted average remaining lease term and discount rate as of March 31, 2021 and March 31, 2020, respectively:
| March 31, 2021 | March 31, 2020
Weighted-average remaining lease term (in years) | 5.99 | 6.74
Weighted-average discount rate | 3.86 | % | 4.05 | %
Amounts recognized on the financial statements The following table illustrates the balance sheet classification for ROU assets and lease liabilities as of March 31, 2021 and March 31, 2020, respectively (in thousands):
| Balance sheet classification | March 31, 2021 | March 31, 2020
Assets | Other assets | $ | 34,181 |  | $ | 38,125 |
Current | Accrued liabilities | 7,673 |  | 6,924 |
Non-current | Other non current liabilities | 27,321 |  | 31,629 |
Total liabilities |  | $ | 34,994 |  | $ | 38,553 |
Operating lease expense of $9,175,000 and $8,869,000 for the fiscal years ending March 31, 2021 and March 31, 2020, respectively, is included in income from operations on the Consolidated Statements of Operations. Short-term lease expense, sublease income, and variable lease expenses are not material for the fiscal year ending March 31, 2021. Rental expense for the year ended March 31, 2019 was $12,248,000 under ASC 840 (prior to the adoption of ASC 842). Other lease disclosures At March 31, 2021, the maturities of operating lease liabilities were as follows (in thousands):
Year: | March 31, 2021
2022 | $ | 9,002 |
2023 | 8,019 |
2024 | 5,212 |
2025 | 4,695 |
2026 | 3,599 |
Thereafter | 9,345 |
Total undiscounted lease payments | $ | 39,872 |
Less: imputed interest | $ | 4,878 |
Present value of lease liabilities | $ | 34,994 |
Supplemental cash flow information related to operating leases is as follows (in thousands):
| Year ended March 31, 2021 | Year ended March 31, 2020
Cash paid for amounts included in the measurement of operating lease liabilities | $ | 8,909 |  | $ | 8,593 |
ROU assets obtained in exchange for new operating lease liabilities | $ | 2,866 |  | $ | 10,589 |

X
- Definition The entire disclosure for lessee entity's leasing arrangements including, but not limited to, all of the following: (a.) The basis on which contingent rental payments are determined, (b.) The existence and terms of renewal or purchase options and escalation clauses, (c.) Restrictions imposed by lease agreements, such as those concerning dividends, additional debt, and further leasing. + References Reference 1: http://fasb.org/us-gaap/role/ref/otherTransitionRef -Publisher FASB -Name Accounting Standards Codification -Topic 840 -URI http://asc.fasb.org/topic&trid=2208923 + Details
Name: | us-gaap_LeasesOfLesseeDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Line items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table. + References No definition available. + Details
Name: | us-gaap_OperatingLeasedAssetsLineItems
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration