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Segment Information | 12 Months Ended
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Aug. 31, 2013
Segment Information [Abstract] |
Segment Information | 17. SEGMENT INFORMATION Operating Segment Information Our sales are primarily comprised of training and content sales and related products. Based on the consistent nature of our services and products and the types of customers for these services, we function as a single operating segment. However, to improve comparability with previous periods, operating information for our U.S./Canada, international, and corporate services operations is presented below. Our U.S./Canada operations are responsible for the sale and delivery of our training and consulting services in the United States and Canada. Our international sales group includes the financial results of our foreign direct offices and royalty revenues from international licensees. Our corporate services information includes leasing income and certain corporate operating expenses. The Company’s chief operating decision maker is the CEO, and the primary measurement tool used in business unit performance analysis is adjusted earnings before interest, taxes, depreciation, and amortization (Adjusted EBITDA), which may not be calculated as similarly titled amounts calculated by other companies. For enterprise reporting purposes, our consolidated Adjusted EBITDA can be calculated as our income or loss from operations excluding share-based compensation, severance, depreciation expense, amortization expense, and certain other charges. In the normal course of business, we may make structural and cost allocation revisions to our enterprise information to reflect new reporting responsibilities within the organization. All prior period enterprise information has been revised to conform to the most recent classifications and organizational changes. We account for our enterprise information on the same basis as the accompanying consolidated financial statements. ENTERPRISE INFORMATION
|  | Sales to |  |  |  |  |  |  |  |  |  |  |  |  |
Fiscal Year Ended |  | External |  |  |  | Adjusted |  |  |  |  |  |  |  |  | Capital
August 31, 2013 |  | Customers |  | Gross Profit |  | EBITDA |  | Depreciation |  | Amortization |  |  | Assets |  | Expenditures
U.S./Canada | $ | 142,616 | $ | 91,637 | $ | 16,419 | $ | 1,286 | $ | 3,180 |  | $ | 83,391 | $ | 4,106
International |  | 44,154 |  | 35,146 |  | 20,267 |  | 327 |  | 11 |  |  | 13,567 |  | 146
Total |  | 186,770 |  | 126,783 |  | 36,686 |  | 1,613 |  | 3,191 |  |  | 96,958 |  | 4,252
Corporate and eliminations |  | 4,154 |  | 2,206 |  | (5,284) |  | 1,395 |  | - |  |  | 92,447 |  | 166
Consolidated | $ | 190,924 | $ | 128,989 | $ | 31,402 | $ | 3,008 | $ | 3,191 |  | $ | 189,405 | $ | 4,418
Fiscal Year Ended |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
August 31, 2012 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S./Canada | $ | 125,183 | $ | 78,618 | $ | 15,144 | $ | 1,436 | $ | 2,483 |  | $ | 74,387 | $ | 3,934
International |  | 42,052 |  | 32,616 |  | 16,874 |  | 365 |  | 16 |  |  | 12,436 |  | 289
Total |  | 167,235 |  | 111,234 |  | 32,018 |  | 1,801 |  | 2,499 |  |  | 86,823 |  | 4,223
Corporate and eliminations |  | 3,221 |  | 1,449 |  | (4,962) |  | 1,341 |  | - |  |  | 77,257 |  | 507
Consolidated | $ | 170,456 | $ | 112,683 | $ | 27,056 | $ | 3,142 | $ | 2,499 |  | $ | 164,080 | $ | 4,730
Fiscal Year Ended |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
August 31, 2011 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S./Canada | $ | 118,420 | $ | 71,782 | $ | 12,947 | $ | 1,722 | $ | 3,525 |  | $ | 76,152 | $ | 4,020
International |  | 40,011 |  | 31,037 |  | 15,068 |  | 436 |  | 15 |  |  | 10,902 |  | 938
Total |  | 158,431 |  | 102,819 |  | 28,015 |  | 2,158 |  | 3,540 |  |  | 87,054 |  | 4,958
Corporate and eliminations |  | 2,373 |  | 655 |  | (6,858) |  | 1,409 |  | - |  |  | 64,373 |  | 507
Consolidated | $ | 160,804 | $ | 103,474 | $ | 21,157 | $ | 3,567 | $ | 3,540 |  | $ | 151,427 | $ | 5,465
Capital expenditures in our U.S./Canada operations include $2.6 million, $2.1 million, and $3.1 million of spending on capitalized curriculum during the fiscal years ended August 31, 2013, 2012 and 2011. A reconciliation of enterprise Adjusted EBITDA to consolidated income before taxes is provided below (in thousands):
YEAR ENDED |  |  |  |  |  |
AUGUST 31, |  | 2013 |  | 2012 |  | 2011
Enterprise Adjusted EBITDA | $ | 36,686 | $ | 32,018 | $ | 28,015
Corporate expenses |  | (5,284) |  | (4,962) |  | (6,858)
Consolidated Adjusted EBITDA |  | 31,402 |  | 27,056 |  | 21,157
Share-based compensation |  | (3,589) |  | (3,835) |  | (2,788)
Severance costs |  | - |  | - |  | (150)
Depreciation |  | (3,008) |  | (3,142) |  | (3,567)
Amortization |  | (3,191) |  | (2,499) |  | (3,540)
Income from operations |  | 21,614 |  | 17,580 |  | 11,112
Interest income |  | 614 |  | 18 |  | 21
Interest expense |  | (2,332) |  | (2,482) |  | (2,687)
Discount on related party receivable |  | (519) |  | (1,369) |  | -
Other, net |  | 21 |  | - |  | -
Income before income taxes | $ | 19,398 | $ | 13,747 | $ | 8,446
Interest expense and interest income are primarily generated at the corporate level and are not allocated. Income taxes are likewise calculated and paid on a corporate level (except for entities that operate in foreign jurisdictions) and are not allocated for analysis purposes. Enterprise-Wide Information Our revenues are derived primarily from the United States. However, we also operate wholly-owned offices or contract with licensees to provide our services in various countries throughout the world. Our consolidated revenues from were derived from the following countries (in thousands):
YEAR ENDED |  |  |  |  |  |
AUGUST 31, |  | 2013 |  | 2012 |  | 2011
United States | $ | 138,599 | $ | 121,328 | $ | 115,709
Japan |  | 19,594 |  | 19,440 |  | 17,263
Canada |  | 9,866 |  | 8,574 |  | 7,080
United Kingdom |  | 5,428 |  | 5,341 |  | 5,143
Australia |  | 4,536 |  | 3,992 |  | 5,058
China/Singapore |  | 2,889 |  | 2,512 |  | 2,185
Mexico/Central America |  | 955 |  | 913 |  | 837
Thailand |  | 860 |  | 693 |  | 729
Indonesia |  | 778 |  | 705 |  | 610
Denmark/Scandanavia |  | 693 |  | 660 |  | 725
India |  | 559 |  | 576 |  | 515
Brazil |  | 495 |  | 509 |  | 567
Korea |  | 469 |  | 607 |  | 861
Malaysia |  | 427 |  | 458 |  | 429
Others |  | 4,776 |  | 4,148 |  | 3,093
| $ | 190,924 | $ | 170,456 | $ | 160,804
During fiscal 2011, we recognized $16.8 million in sales from contracts with a division of the United States federal government, which was more than ten percent of our consolidated revenues for the year. In fiscal years 2013 and 2012, there were no customers that accounted for more than ten percent of our consolidated revenues. At August 31, 2013 and 2012 we had $5.3 million and $7.6 million receivable from these government contracts that were included in our consolidated accounts receivable. At August 31, 2013 and 2012, we had wholly owned direct offices in Australia, Japan, and the United Kingdom. Our long-lived assets, excluding intangible assets and goodwill, were held in the following locations for the periods indicated (in thousands):
AUGUST 31, |  | 2013 |  | 2012
United States/Canada | $ | 30,301 | $ | 29,851
Japan |  | 924 |  | 1,342
United Kingdom |  | 212 |  | 199
Australia |  | 69 |  | 116
| $ | 31,506 | $ | 31,508
Inter-segment sales were immaterial and were eliminated in consolidation.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 131 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8380-108599 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8933-108599 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8538-108599 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8844-108599 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 29 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8864-108599 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8981-108599 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 35 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8984-108599 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9054-108599 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9031-108599 Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8924-108599 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9038-108599 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8906-108599 Reference 14: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 33 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8971-108599 Reference 15: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8595-108599 + Details
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