Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Aug. 31, 2013 | Oct. 31, 2013 | Feb. 28, 2013 | |
Document and Entity Information | ' | ' | ' |
Entity Registrant Name | 'CHASE CORP | ' | ' |
Entity Central Index Key | '0000830524 | ' | ' |
Document Type | '10-K | ' | ' |
Document Period End Date | 31-Aug-13 | ' | ' |
Amendment Flag | 'false | ' | ' |
Current Fiscal Year End Date | '--08-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Filer Category | 'Accelerated Filer | ' | ' |
Entity Public Float | ' | ' | $124,936,000 |
Entity Common Stock, Shares Outstanding | ' | 9,083,007 | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | ||
Current Assets | ' | ' |
Cash & cash equivalents | $29,997 | $15,180 |
Accounts receivable, less allowance for doubtful accounts of $696 and $817 | 32,084 | 31,621 |
Inventories | 32,048 | 32,323 |
Prepaid expenses and other current assets | 1,826 | 1,810 |
Assets held for sale | 1,905 | ' |
Deferred income taxes | 2,115 | 2,208 |
Total current assets | 99,975 | 83,142 |
Property, plant and equipment, net | 45,192 | 49,279 |
Other Assets | ' | ' |
Goodwill | 37,815 | 37,785 |
Intangible assets, less accumulated amortization of $17,554 and $12,847 | 31,781 | 36,363 |
Cash surrender value of life insurance | 7,278 | 7,145 |
Restricted investments | 1,094 | 874 |
Funded pension plan | 1,014 | ' |
Other assets | 211 | 244 |
Total assets | 224,360 | 214,832 |
Current Liabilities | ' | ' |
Accounts payable | 12,416 | 11,559 |
Accrued payroll and other compensation | 7,046 | 5,219 |
Accrued expenses | 5,171 | 6,005 |
Accrued income taxes | 2,161 | 1,892 |
Current portion of long-term debt | 5,600 | 5,600 |
Total current liabilities | 32,394 | 30,275 |
Long-term debt, less current portion | 58,800 | 64,400 |
Deferred compensation | 1,897 | 1,775 |
Accumulated pension obligation | 7,834 | 7,702 |
Other liabilities | 108 | 92 |
Deferred income taxes | 9,467 | 10,943 |
Commitments and Contingencies (Notes 6, 8 and 19) | ' | ' |
Equity | ' | ' |
First Serial Preferred Stock, $1.00 par value: Authorized 100,000 shares; none issued | ' | ' |
Common stock, $.10 par value: Authorized 20,000,000 shares; 9,066,115 shares at August 31, 2013 and 9,001,582 shares at August 31, 2012 issued and outstanding | 907 | 900 |
Additional paid-in capital | 13,336 | 12,109 |
Accumulated other comprehensive loss | -5,163 | -5,030 |
Retained earnings | 103,734 | 90,146 |
Chase Corporation stockholders' equity | 112,814 | 98,125 |
Non-controlling interest related to NEPTCO joint venture (Note 15) | 1,046 | 1,520 |
Total equity | 113,860 | 99,645 |
Total liabilities and equity | $224,360 | $214,832 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, except Share data, unless otherwise specified | ||
CONSOLIDATED BALANCE SHEETS | ' | ' |
Accounts receivable, allowance for doubtful accounts (in dollars) | $696 | $817 |
Intangible assets, accumulated amortization (in dollars) | $17,554 | $12,847 |
First Serial Preferred Stock, par value (in dollars per share) | $1 | $1 |
First Serial Preferred Stock, Authorized shares | 100,000 | 100,000 |
First Serial Preferred Stock, issued shares | 0 | 0 |
Common stock, par value (in dollars per share) | $0.10 | $0.10 |
Common stock, Authorized shares | 20,000,000 | 20,000,000 |
Common stock, shares issued | 9,066,115 | 9,001,582 |
Common stock, shares outstanding | 9,066,115 | 9,001,582 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Revenues | ' | ' | ' |
Sales | $213,648 | $146,494 | $120,918 |
Royalties and commissions | 2,414 | 2,425 | 2,122 |
Total revenues | 216,062 | 148,919 | 123,040 |
Costs and Expenses | ' | ' | ' |
Cost of products and services sold | 146,035 | 101,249 | 80,317 |
Selling, general and administrative expenses | 43,236 | 30,172 | 26,780 |
Acquisition related costs | ' | 3,206 | ' |
Operating income | 26,791 | 14,292 | 15,943 |
Interest expense | -1,294 | -398 | -196 |
Other income | 313 | 102 | 426 |
Income before income taxes | 25,810 | 13,996 | 16,173 |
Income taxes | 9,070 | 4,732 | 5,242 |
Net income | 16,740 | 9,264 | 10,931 |
Add: net loss attributable to non-controlling interest | 474 | 74 | ' |
Net income attributable to Chase Corporation | $17,214 | $9,338 | $10,931 |
Net income available to common shareholders, per common and common equivalent share | ' | ' | ' |
Basic (in dollars per share) | $1.90 | $1.03 | $1.22 |
Diluted (in dollars per share) | $1.87 | $1.03 | $1.22 |
Weighted average shares outstanding | ' | ' | ' |
Basic (in shares) | 8,860,972 | 8,761,262 | 8,721,452 |
Diluted (in shares) | 8,978,438 | 8,786,750 | 8,763,808 |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ' | ' | ' |
Net income | $16,740 | $9,264 | $10,931 |
Other comprehensive income: | ' | ' | ' |
Net unrealized gain on restricted investments, net of tax of $20, $20 and $21, respectively | 85 | 33 | 35 |
Change in funded status of pension plans, net of tax of $281, $297 and $232, respectively | 201 | -493 | -389 |
Foreign currency translation adjustment | -419 | -904 | 1,418 |
Total other comprehensive income (loss) | -133 | -1,364 | 1,064 |
Comprehensive income | 16,607 | 7,900 | 11,995 |
Comprehensive loss attributable to non-controlling interest | 474 | 74 | ' |
Comprehensive income attributable to Chase Corporation | $17,081 | $7,974 | $11,995 |
CONSOLIDATED_STATEMENTS_OF_EQU
CONSOLIDATED STATEMENTS OF EQUITY (USD $) | Total | Chase Stockholders' Equity | Common Stock | Additional Paid-In Capital | Accumulated Other Comprehensive Income (loss) | Retained Earnings | Non-controlling Interest |
In Thousands, except Share data, unless otherwise specified | |||||||
Balance at Aug. 31, 2010 | $81,531 | $81,531 | $878 | $9,210 | ($4,730) | $76,173 | ' |
Balance (in shares) at Aug. 31, 2010 | ' | ' | 8,780,988 | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' |
Restricted stock grants, net of forfeitures | ' | ' | 13 | -13 | ' | ' | ' |
Restricted stock grants, net of forfeitures (in shares) | ' | ' | 132,985 | ' | ' | ' | ' |
Amortization of restricted stock grants | 1,138 | 1,138 | ' | 1,138 | ' | ' | ' |
Amortization of stock option grants | 530 | 530 | ' | 530 | ' | ' | ' |
Common stock issuance | 14 | 14 | ' | 14 | ' | ' | ' |
Common stock issuance (in shares) | ' | ' | 823 | ' | ' | ' | ' |
Exercise of stock options | 386 | 386 | 7 | 379 | ' | ' | ' |
Exercise of stock options (in shares) | ' | ' | 73,500 | ' | ' | ' | ' |
Common stock received for payment of stock option exercises | -386 | -386 | -2 | -384 | ' | ' | ' |
Common stock received for payment of stock option exercises (in shares) | ' | ' | -23,053 | ' | ' | ' | ' |
Excess tax benefit (expense) from stock based compensation | -37 | -37 | ' | -37 | ' | ' | ' |
Common stock retained to pay statutory minimum withholding taxes on common stock | -160 | -160 | -1 | -159 | ' | ' | ' |
Common stock retained to pay statutory minimum withholding taxes on common stock (in shares) | ' | ' | -12,333 | ' | ' | ' | ' |
Cash dividend paid, $0.40, $0.35 and $0.35 per share for the year ended 2013, 2012 and 2011, respectively | -3,131 | -3,131 | ' | ' | ' | -3,131 | ' |
Change in funded status of pension plan, net of tax of $281, $297 and $232 for the year ended 2013, 2012 and 2011, respectively | -389 | -389 | ' | ' | -389 | ' | ' |
Foreign currency translation adjustment | 1,418 | 1,418 | ' | ' | 1,418 | ' | ' |
Net unrealized gain on restricted investments, net of tax of $20, $20 and $21 for the year ended 2013, 2012 and 2011, respectively | 35 | 35 | ' | ' | 35 | ' | ' |
Net income | 10,931 | 10,931 | ' | ' | ' | 10,931 | ' |
Balance at Aug. 31, 2011 | 91,880 | 91,880 | 895 | 10,678 | -3,666 | 83,973 | ' |
Balance (in shares) at Aug. 31, 2011 | ' | ' | 8,952,910 | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' |
Restricted stock grants, net of forfeitures | ' | ' | 10 | -10 | ' | ' | ' |
Restricted stock grants, net of forfeitures (in shares) | ' | ' | 98,135 | ' | ' | ' | ' |
Amortization of restricted stock grants | 1,448 | 1,448 | ' | 1,448 | ' | ' | ' |
Amortization of stock option grants | 563 | 563 | ' | 563 | ' | ' | ' |
Common stock issuance | 29 | 29 | ' | 29 | ' | ' | ' |
Common stock issuance (in shares) | ' | ' | 2,205 | ' | ' | ' | ' |
Non-controlling Interest - NEPTCO joint venture | 1,594 | ' | ' | ' | ' | ' | 1,594 |
Excess tax benefit (expense) from stock based compensation | 209 | 209 | ' | 209 | ' | ' | ' |
Common stock retained to pay statutory minimum withholding taxes on common stock | -813 | -813 | -5 | -808 | ' | ' | ' |
Common stock retained to pay statutory minimum withholding taxes on common stock (in shares) | ' | ' | -51,668 | ' | ' | ' | ' |
Cash dividend paid, $0.40, $0.35 and $0.35 per share for the year ended 2013, 2012 and 2011, respectively | -3,165 | -3,165 | ' | ' | ' | -3,165 | ' |
Change in funded status of pension plan, net of tax of $281, $297 and $232 for the year ended 2013, 2012 and 2011, respectively | -493 | -493 | ' | ' | -493 | ' | ' |
Foreign currency translation adjustment | -904 | -904 | ' | ' | -904 | ' | ' |
Net unrealized gain on restricted investments, net of tax of $20, $20 and $21 for the year ended 2013, 2012 and 2011, respectively | 33 | 33 | ' | ' | 33 | ' | ' |
Net income | 9,264 | 9,338 | ' | ' | ' | 9,338 | -74 |
Balance at Aug. 31, 2012 | 99,645 | 98,125 | 900 | 12,109 | -5,030 | 90,146 | 1,520 |
Balance (in shares) at Aug. 31, 2012 | ' | ' | 9,001,582 | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' |
Restricted stock grants, net of forfeitures | ' | ' | 7 | -7 | ' | ' | ' |
Restricted stock grants, net of forfeitures (in shares) | ' | ' | 71,801 | ' | ' | ' | ' |
Amortization of restricted stock grants | 1,145 | 1,145 | ' | 1,145 | ' | ' | ' |
Amortization of stock option grants | 466 | 466 | ' | 466 | ' | ' | ' |
Common stock issuance | 10 | 10 | 0 | 10 | ' | ' | ' |
Common stock issuance (in shares) | ' | ' | 566 | ' | ' | ' | ' |
Exercise of stock options | 562 | 562 | 5 | 557 | ' | ' | ' |
Exercise of stock options (in shares) | ' | ' | 49,042 | ' | ' | ' | ' |
Common stock received for payment of stock option exercises | -488 | -488 | -2 | -486 | ' | ' | ' |
Common stock received for payment of stock option exercises (in shares) | ' | ' | -20,284 | ' | ' | ' | ' |
Excess tax benefit (expense) from stock based compensation | 622 | 622 | ' | 622 | ' | ' | ' |
Common stock retained to pay statutory minimum withholding taxes on common stock | -1,083 | -1,083 | -3 | -1,080 | ' | ' | ' |
Common stock retained to pay statutory minimum withholding taxes on common stock (in shares) | ' | ' | -36,592 | ' | ' | ' | ' |
Cash dividend paid, $0.40, $0.35 and $0.35 per share for the year ended 2013, 2012 and 2011, respectively | -3,626 | -3,626 | ' | ' | ' | -3,626 | ' |
Change in funded status of pension plan, net of tax of $281, $297 and $232 for the year ended 2013, 2012 and 2011, respectively | 201 | 201 | ' | ' | 201 | ' | ' |
Foreign currency translation adjustment | -419 | -419 | ' | ' | -419 | ' | ' |
Net unrealized gain on restricted investments, net of tax of $20, $20 and $21 for the year ended 2013, 2012 and 2011, respectively | 85 | 85 | ' | ' | 85 | ' | ' |
Net income | 16,740 | 17,214 | ' | ' | ' | 17,214 | -474 |
Balance at Aug. 31, 2013 | $113,860 | $112,814 | $907 | $13,336 | ($5,163) | $103,734 | $1,046 |
Balance (in shares) at Aug. 31, 2013 | ' | ' | 9,066,115 | ' | ' | ' | ' |
CONSOLIDATED_STATEMENTS_OF_EQU1
CONSOLIDATED STATEMENTS OF EQUITY (Parenthetical) (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
CONSOLIDATED STATEMENTS OF EQUITY | ' | ' | ' |
Cash dividend paid (in dollars per share) | $0.40 | $0.35 | $0.35 |
Change in funded status of pension plan, tax | $281 | $297 | $232 |
Net unrealized gain on restricted investments, tax | $20 | $20 | $21 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOW (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
CASH FLOWS FROM OPERATING ACTIVITIES | ' | ' | ' |
Net income | $16,740 | $9,264 | $10,931 |
Adjustments to reconcile net income to net cash provided by operating activities | ' | ' | ' |
(Gain) loss on disposal/sale of fixed assets | -8 | 32 | -6 |
Depreciation | 5,872 | 3,172 | 2,759 |
Amortization | 4,793 | 2,716 | 2,309 |
Cost of sale of inventory step-up | 564 | 828 | ' |
Provision (recovery) for allowance for doubtful accounts | -114 | 155 | 127 |
Stock based compensation | 1,621 | 2,040 | 1,682 |
Realized gain on restricted investments | -51 | -22 | -18 |
Increase (decrease) in cash surrender value life insurance | 52 | -37 | 37 |
Pension curtailment and settlement loss | 1,223 | 550 | ' |
Excess tax (expense) benefit from stock based compensation | -622 | -209 | 37 |
Deferred taxes | -1,385 | -1,442 | -527 |
Increase (decrease) from changes in assets and liabilities | ' | ' | ' |
Accounts receivable | -363 | -1,717 | -301 |
Inventories | -1,240 | 942 | -6,059 |
Prepaid expenses & other assets | 8 | -55 | -497 |
Accounts payable | 886 | -2,683 | 522 |
Accrued expenses | -791 | -174 | -215 |
Accrued income taxes | 850 | 408 | -1,555 |
Deferred compensation | 122 | 178 | 77 |
Net cash provided by operating activities | 28,157 | 13,946 | 9,303 |
CASH FLOWS FROM INVESTING ACTIVITIES | ' | ' | ' |
Purchases of property, plant and equipment | -3,043 | -5,230 | -4,496 |
Cost to acquire intangible assets | -354 | -74 | ' |
Contingent purchase price paid for acquisition | -141 | -358 | -272 |
Payments for acquisitions, net of cash acquired | 84 | -62,217 | ' |
Proceeds from sale of fixed assets | 105 | 1,032 | 11 |
Net proceeds from sale of discontinued operations | ' | ' | 1,478 |
Contributions from restricted investments, net | -48 | -60 | -54 |
Payments for cash surrender value life insurance | -183 | -183 | -839 |
Net cash used in investing activities | -3,580 | -67,090 | -4,172 |
CASH FLOWS FROM FINANCING ACTIVITIES | ' | ' | ' |
Borrowings on long-term debt | 313 | 79,331 | 3,538 |
Payments of principal on debt | -5,913 | -22,054 | -7,938 |
Dividend paid | -3,626 | -3,165 | -3,131 |
Proceeds from exercise of common stock options | 74 | ' | 386 |
Payments of statutory minimum taxes on stock options and restricted stock | -1,083 | -813 | -547 |
Excess tax (expense) benefit from stock based compensation | 621 | 209 | -37 |
Net cash (used in) provided by financing activities | -9,614 | 53,508 | -7,729 |
INCREASE (DECREASE) IN CASH & CASH EQUIVALENTS | 14,963 | 364 | -2,598 |
Effect of foreign exchange rates on cash | -146 | -166 | 240 |
CASH & CASH EQUIVALENTS, BEGINNING OF PERIOD | 15,180 | 14,982 | 17,340 |
CASH & CASH EQUIVALENTS, END OF PERIOD | $29,997 | $15,180 | $14,982 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | |||||||||||||||||||
Aug. 31, 2013 | ||||||||||||||||||||
Summary of Significant Accounting Policies | ' | |||||||||||||||||||
Summary of Significant Accounting Policies | ' | |||||||||||||||||||
Note 1—Summary of Significant Accounting Policies | ||||||||||||||||||||
The principal accounting policies of Chase Corporation (the "Company") and its subsidiaries are as follows: | ||||||||||||||||||||
Products and Markets | ||||||||||||||||||||
The Company's principal products are specialty tapes, laminates, sealants and coatings that are sold by Company salespeople, manufacturers' representatives and distributors. In the Company's Industrial Materials segment, these products consist of: | ||||||||||||||||||||
(i) | ||||||||||||||||||||
insulating and conducting materials for the manufacture of electrical and telephone wire and cable, electrical splicing, and terminating and repair tapes, which are marketed to wire and cable manufacturers; | ||||||||||||||||||||
(ii) | ||||||||||||||||||||
laminated film foils, composite strength elements, anti-static packaging tape and pulling tapes for the electronics and cable industries; | ||||||||||||||||||||
(iii) | ||||||||||||||||||||
moisture protective coatings, which are sold to the electronics industry including circuitry used in automobiles and home appliances; | ||||||||||||||||||||
(iv) | ||||||||||||||||||||
laminated durable papers, including laminated paper with an inner security barrier used in personal and mail-stream privacy protection, which are sold primarily to the envelope converting and commercial printing industries; | ||||||||||||||||||||
(v) | ||||||||||||||||||||
pulling and detection tapes used in the installation, measurement and location of fiber optic cables, water and natural gas lines, and power, data and video cables for commercial buildings; | ||||||||||||||||||||
(vi) | ||||||||||||||||||||
cover tapes with reliable adhesive and anti-static properties essential to delivering semiconductor components via tape and reel packaging; and | ||||||||||||||||||||
(vii) | ||||||||||||||||||||
flexible, rigid and semi-rigid fiber optic strength elements designed to allow fiber optic cables to withstand mechanical and environmental strain and stress, produced by NEPTCO's joint venture. | ||||||||||||||||||||
In the Company's Construction Materials segment, these products consist of: | ||||||||||||||||||||
(i) | ||||||||||||||||||||
protective pipe coating tapes and other protectants for valves, regulators, casings, joints, metals, concrete and wood, which are sold to oil companies, gas utilities and pipeline companies; | ||||||||||||||||||||
(ii) | ||||||||||||||||||||
protectants for highway bridge deck metal supported surfaces, which are sold to municipal transportation authorities; | ||||||||||||||||||||
(iii) | ||||||||||||||||||||
fluid applied coating and lining systems for use in the water and wastewater industry; and | ||||||||||||||||||||
(iv) | ||||||||||||||||||||
expansion and control joint systems designed for roads, bridges, stadiums and airport runways. | ||||||||||||||||||||
Basis of Presentation | ||||||||||||||||||||
The financial statements include the accounts of the Company and its wholly-owned subsidiaries. Investments in unconsolidated companies which are at least 20% owned are carried under the equity method since acquisition or investment. All intercompany transactions and balances have been eliminated in consolidation. The Company uses the U.S. dollar as the functional currency for financial reporting. | ||||||||||||||||||||
As part of the Company's purchase of NEPTCO in June 2012, it also acquired NEPTCO's 50% ownership stake in its financially- controlled joint venture, NEPTCO JV LLC ("JV"). Given the Company's controlling financial interest, the JV's assets and liabilities as of August 31, 2013 and 2012, and the results of operations beginning June 27, 2012, have been consolidated within the Company's consolidated balance sheet and the related consolidated statements of operations and cash flows. An offsetting amount equal to 50% of net assets and net loss of the JV has also been recorded within the Company's consolidated financial statements to non-controlling interest, representing the joint venture partner's 50% ownership stake and pro rata share in net results of the JV. | ||||||||||||||||||||
The Company has evaluated events and transactions subsequent to the balance sheet date. Based on this evaluation, and other than the October 2013 sale of the Company's Insulfab product line described in Note 18, and the cash dividend announced on October 23, 2013 of $0.45 per share to shareholders of record on November 5, 2013 payable on December 4, 2013, the Company is not aware of any other events or transactions that occurred subsequent to the balance sheet date, but prior to filing, that would require recognition or disclosure in its consolidated financial statements. | ||||||||||||||||||||
Revisions to Previously Issued Financial Statements | ||||||||||||||||||||
During the third quarter of fiscal 2013, an immaterial error was identified in the presentation of two line items within the operating activities section of the Company's previously reported statement of cash flows for the year ended August 31, 2012. The Company revised the statement of cash flows to correct the presentation of two line items within the operating activities section. This revision to the statement of cash flows results in pension curtailment and settlement loss changing from ($550) to $550 and accrued compensation and other expenses changing from $926 to ($174) for the year ended August 31, 2012. There was no impact on the comparing balance sheet as of August 31, 2012 or the related statement of operations, statement of other comprehensive income, total cash provided by operating activities or overall cash flows. | ||||||||||||||||||||
During the fourth quarter of fiscal 2013, the Company identified an immaterial error in the balance sheet classification of an item within the Company's previously reported unaudited financial statements for the first three quarters of fiscal 2013. In those fiscal quarters, the Company properly recorded pension settlement losses that resulted from lump sum distributions to pension plan participants in earnings but did not properly reclassify the amount out of Equity—Accumulated Other Comprehensive Income. As a result, the following unaudited balance sheet accounts were revised from their previously reported amounts: | ||||||||||||||||||||
Previously reported (unaudited) | As Revised (unaudited) | |||||||||||||||||||
For the fiscal quarters ended, | For the fiscal quarters ended, | |||||||||||||||||||
11/30/12 | 2/28/13 | 5/31/13 | 11/30/12 | 2/28/13 | 5/31/13 | |||||||||||||||
Liabilities and Equity | ||||||||||||||||||||
Accumulated pension obligation | 7,508 | 8,012 | 7,618 | 7,180 | 6,814 | 6,420 | ||||||||||||||
Accrued income taxes | 1,460 | 11 | 1,058 | 1,573 | 424 | 1,471 | ||||||||||||||
Accumulated other comprehensive loss | (4,567 | ) | (5,916 | ) | (5,818 | ) | (4,353 | ) | (5,131 | ) | (5,033 | ) | ||||||||
Accordingly, comprehensive income as previously reported in the unaudited financial statements, was understated by $214 and $571 for the fiscal quarters ended November 30, 2012 and February 28, 2013, respectively, and understated by $214, $785 and $785 for the fiscal year to date periods ended November 30, 2012, February 28, 2013 and May 31, 2013, respectively. Even though the correction of the error is not material to the financial statements for the fourth quarter of fiscal 2013, the Company revised the amounts previously reported in the unaudited interim-financial statements for the year ended August 31, 2013. There was no impact on the Company's unaudited statement of operations or statement of cash flows for any of the previously reported periods. | ||||||||||||||||||||
During the fourth quarter of fiscal 2013, as part of the review of the final purchase price allocation related to the NEPTCO acquisition, additional information became available to the Company outside the measurement period that identified the need to correct the amount previously used in the calculation of the tax basis of the NEPTCO Joint Venture. This immaterial correction resulted in a decrease in the non-current deferred tax liabilities of $1,655, a decrease in the current deferred tax assets of $647, and a decrease to goodwill of $1,008 as of August 31, 2012. The Company has revised the prior period balance sheet to reflect the appropriate presentation of these line items. There was no impact on the working capital, statement of operations, statement of other comprehensive income, or cash flows. | ||||||||||||||||||||
Use of Estimates | ||||||||||||||||||||
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | ||||||||||||||||||||
Cash and Cash Equivalents | ||||||||||||||||||||
Cash and cash equivalents consist primarily of demand deposits accounts or investment instruments that meet high credit quality standards such as money market funds, government securities, or commercial paper. The Company considers all highly liquid debt instruments purchased with a maturity of three months or less from date of purchase to be cash equivalents. | ||||||||||||||||||||
Accounts Receivable | ||||||||||||||||||||
The Company evaluates the collectability of accounts receivable balances based on a combination of factors. In cases where the Company is aware of circumstances that may impair a specific customer's ability to meet its financial obligations to it, a specific allowance against amounts due to the Company is recorded, and thereby reduces the net recognized receivable to the amount the Company reasonably believes will be collected. For all other customers, the Company recognizes allowances for doubtful accounts based on the length of time the receivables are past due, industry and geographic concentrations, the current business environment and its historical experience. Receivables are written off against these reserves in the period they are determined to be uncollectible. | ||||||||||||||||||||
Inventories | ||||||||||||||||||||
The Company values inventory at the lower of cost or market using the first-in, first-out (FIFO) method. Management assesses the recoverability of inventory based on types and levels of inventory held, forecasted demand and changes in technology. These assessments require management judgments and estimates, and valuation adjustments for excess and obsolete inventory may be recorded based on these assessments. The Company estimates excess and obsolescence exposures based upon assumptions about future demand, product transitions, and market conditions and records reserves to reduce inventories to their estimated net realizable value. The failure to accurately forecast demand may lead to additional excess and obsolete inventory and future charges. | ||||||||||||||||||||
Goodwill | ||||||||||||||||||||
The Company accounts for goodwill in accordance with ASC Topic 350, "Intangibles—Goodwill and Other." The Company identified several reporting units within each of its two operating segments. These are used to evaluate the possible impairment of goodwill annually each fourth quarter and whenever events or circumstances indicate the carrying value of goodwill may not be recoverable. When evaluating the potential impairment of goodwill, the Company will first assess a range of qualitative factors, including but not limited to, industry conditions, the competitive environment, changes in the market for our products and services, entity specific factors such as strategy and changes in key personnel, and the overall financial performance for each of our reporting units relative to expected historical or projected future operating results. If after completing this assessment, it is determined that it is more likely than not that the fair value of a reporting unit is less than its carrying value, the Company will then proceed to a two-step impairment testing methodology using the income approach (discounted cash flow method). | ||||||||||||||||||||
In the first step of this testing methodology, we compare the carrying value of the reporting unit, including goodwill, with its fair value, as determined by its estimated discounted cash flows. If the carrying value of a reporting unit exceeds its fair value, we then complete the second step of the impairment test to determine the amount of impairment to be recognized. In the second step, we estimate an implied fair value of the reporting unit's goodwill by allocating the fair value of the reporting unit to all of the assets and liabilities other than goodwill (including intangible assets). If the carrying value of a reporting unit's goodwill exceeds its implied fair value, we record an impairment loss equal to the difference in that period. The key assumptions incorporated in the discounted cash flow approach include projected operating income, changes in working capital, projected capital expenditures, estimated terminal sales value and a discount rate equal to the assumed long-term cost of capital. Cash flows may be adjusted to exclude certain non-recurring or unusual items. The cash flow estimates used to determine impairment, if any, contain management's best estimates, using appropriate and customary assumptions and projections at the time. | ||||||||||||||||||||
Intangible Assets | ||||||||||||||||||||
Intangible assets consist of patents, agreements, formulas, trade names, customer relationships and trademarks. The Company capitalizes costs related to patent applications and technology agreements. The costs of these assets are amortized using the straight-line method over the lesser of the useful life of the asset or its statutory life. Capitalized costs are periodically reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. | ||||||||||||||||||||
Property, Plant and Equipment | ||||||||||||||||||||
Property, plant and equipment are stated at cost and depreciated using the straight-line method over the assets' estimated useful lives. Expenditures for maintenance repairs and minor renewals are charged to expense as incurred. Betterments and major renewals are capitalized. Upon retirement or other disposition of assets, related allowances for depreciation and amortization are eliminated from the accounts and any resulting gain or loss is included in the determination of income or loss. The estimated useful lives of property, plant and equipment are as follows: | ||||||||||||||||||||
Buildings | 20 to 40 years | |||||||||||||||||||
Machinery and equipment | 3 to 10 years | |||||||||||||||||||
Leasehold improvements are depreciated over the lesser of the useful life or the term of the lease. | ||||||||||||||||||||
Restricted Investments and Deferred Compensation | ||||||||||||||||||||
The Company has a non-qualified deferred savings plan that covers its Board of Directors and selected employees. Participants may elect to defer a portion of their compensation for payment in a future tax year. The plan is funded by trusteed assets that are restricted to the payment of deferred compensation or satisfaction of the Company's general creditors. The Company's restricted investments and corresponding deferred compensation liability under the plan were $1,094 and $874 at August 31, 2013 and 2012, respectively. The Company accounts for the restricted investments as available for sale by recording unrealized gains or losses in other comprehensive income as a component of stockholders' equity. | ||||||||||||||||||||
Split-Dollar Life Insurance Arrangements | ||||||||||||||||||||
The net liability related to these postretirement benefits was calculated as the difference between the present value of future premiums to be paid by the Company reduced by the present value of the expected proceeds to be returned to the Company upon the insured's death. The Company prepared its calculation by using mortality assumptions which are based on the IRS 2013 Combined Static Mortality Table, and a 1.52% discount rate. The Company's net liability related to these postretirement obligations was $56 and $48 at August 31, 2013 and 2012, respectively. | ||||||||||||||||||||
Revenues | ||||||||||||||||||||
The Company recognizes revenue when persuasive evidence of an arrangement exists, performance of its obligation is complete, its price to the buyer is fixed or determinable, and the Company is reasonably assured of collecting. This is typically at the time of shipment or upon receipt by the customer based on contractual terms. If a loss is anticipated on any contract, a provision for the entire loss is made immediately. Revenue recognition involves judgments and assessments of expected returns, and the likelihood of nonpayment by customers. The Company analyzes various factors, including a review of specific customer contracts and shipment terms, historical experience, creditworthiness of customers and current market and economic conditions in determining when to recognize revenue. Changes in judgments on these factors could impact the timing and amount of revenue recognized with a resulting impact on the timing and amount of operating income. Commissions are recognized when earned and payments are received from the manufacturers represented. Royalty revenue is recognized based on licensee production statements received from the authorized manufacturers. Billed shipping and handling fees are recorded as sales revenue with the associated costs recorded as costs of products and services sold. | ||||||||||||||||||||
The Company's warranty policy provides that the products (or materials) delivered will meet its standard specifications for the products or any other specifications as may be expressly agreed to at time of purchase. All warranty claims must be received within 90 days from the date of delivery, unless some other period has been expressly agreed to within the terms of the sales agreement. The Company's warranty costs have historically been insignificant. The Company records a current liability for estimated warranty claims with a corresponding debit to cost of products and services sold based upon current and historical experience and upon specific claims issues as they arise. | ||||||||||||||||||||
In addition, the Company offers certain sales incentives based on sales levels as they are earned. | ||||||||||||||||||||
Research and Product Development Costs | ||||||||||||||||||||
Research and product development costs are expensed as incurred and include primarily engineering salaries, overhead and materials used in connection with research and development projects. Research and development expense amounted to $3,395, $2,958 and $2,452 for the years ended August 31, 2013, 2012 and 2011, respectively. | ||||||||||||||||||||
Pension Plan | ||||||||||||||||||||
The Company accounts for its pension plans following the requirements of ASC Topic 715, "Compensation—Retirement Benefits" ("ASC 715"). ASC 715 requires an employer to: (a) recognize in its statement of financial position the funded status of a benefit plan; (b) measure defined benefit plan assets and obligations as of the end of the employer's fiscal year (with limited exceptions); and (c) recognize as a component of other comprehensive income, net of tax, the gains or losses and prior service costs or credits that arise but are not recognized as components of net periodic benefit costs pursuant to prior existing guidance. | ||||||||||||||||||||
Stock Based Compensation | ||||||||||||||||||||
In accordance with the accounting for stock based compensation guidance, the Company measures and recognizes compensation expense for all share-based payment awards made to employees and directors based on estimated fair values. This includes restricted stock, restricted stock units and stock options. The guidance allows for the continued use of the simplified method as the Company has concluded that its historical share option exercise experience does not provide a reasonable basis for estimating expected term. The Company uses the short cut method to calculate the historical windfall tax pool. | ||||||||||||||||||||
Stock-based compensation expense recognized in fiscal years 2013, 2012 and 2011 was $1,621, $2,040 and $1,682, respectively. | ||||||||||||||||||||
The fair value of options granted was estimated on the date of grant using the Black-Scholes option pricing model with the following weighted average assumptions for the years ending August 31, 2013, 2012 and 2011: | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Expected Dividend yield | 2.20% | 2.30% | 2.00% | |||||||||||||||||
Expected life | 6.0 years | 6.0 years | 6.0 years | |||||||||||||||||
Expected volatility | 33.00% | 30.00% | 30.00% | |||||||||||||||||
Risk-free interest rate | 1.60% | 2.20% | 2.50% | |||||||||||||||||
Expected volatility is determined by looking at a combination of historical volatility over the past seven years as well as implied volatility going forward. | ||||||||||||||||||||
Translation of Foreign Currency | ||||||||||||||||||||
The financial position and results of operations of the Company's HumiSeal Europe Ltd and Chase Protective Coatings Ltd businesses are measured using the UK pound sterling as the functional currency, and the financial position and results of operations of the Company's HumiSeal Europe SARL business in France are measured using euros as the functional currency. Revenues and expenses of these businesses have been translated at average exchange rates. Assets and liabilities have been translated at the year-end exchange rates. Translation gains and losses are being recorded as a separate component of shareholders' equity. Transaction gains and losses generated from the remeasurement of assets and liabilities denominated in currencies other than the functional currency of our foreign operations are included in other income on the consolidated statements of operations. | ||||||||||||||||||||
Income Taxes | ||||||||||||||||||||
The Company accounts for income taxes under the asset and liability method. Under this method, a deferred tax asset or liability is determined based upon the differences between the financial statement and tax bases of assets and liabilities as measured by the enacted tax rates that will be in effect when these differences reverse. Tax credits are recorded as a reduction in income taxes. Valuation allowances are provided if, based upon the weight of available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. | ||||||||||||||||||||
The Company estimates contingent income tax liabilities based on the guidance for accounting for uncertain tax positions as prescribed in ASC Topic 740, "Income Taxes." See Note 7 for more information on the Company's income taxes. | ||||||||||||||||||||
Net Income Per Share | ||||||||||||||||||||
The Company has unvested share-based payments awards with a right to receive nonforfeitable dividends, which are considered participating securities under ASC Topic 260, "Earnings Per Share" ("ASC 260"). The Company allocates earnings to participating securities and computes earnings per share using the two class method. | ||||||||||||||||||||
Comprehensive Income | ||||||||||||||||||||
Comprehensive income is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources, including foreign currency translation adjustments, unrealized gains and losses on marketable securities and adjustments related to the change in the funded status of the pension plans. | ||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | ||||||||||||||||||||
Accumulated other comprehensive loss, a component of stockholders' equity, is composed of the following: (1) cumulative unrealized gains on restricted investments, net of taxes; (2) cumulative changes in the pension and postretirement plan liabilities, net of taxes; and (3) cumulative translation adjustments, net of taxes. The components of accumulated other comprehensive income (loss) consists of the following as of August 31, 2013 and 2012: | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Unrealized gains on restricted investments, net of tax | $ | 143 | $ | 59 | ||||||||||||||||
Pension and postretirement plan liabilities, net of tax benefit | (3,578 | ) | (3,779 | ) | ||||||||||||||||
Foreign currency translation adjustment | (1,728 | ) | (1,310 | ) | ||||||||||||||||
Accumulated other comprehensive income (loss) | $ | (5,163 | ) | $ | (5,030 | ) | ||||||||||||||
Non-controlling Interest | ||||||||||||||||||||
A legal entity is subject to the consolidation rules of ASC Topic 810, "Consolidations" ("ASC 810") if the total equity investment at risk is not sufficient to permit the legal entity to finance its activities without additional subordinated financial support or the equity investors lack certain specified characteristics of a controlling financial interest. Based on the criteria in ASC 810, the Company determined that its joint venture agreement qualifies as a variable interest entity ("VIE"). The purpose of the joint venture is to combine the elements of NEPTCO's and the joint venture partner's (an otherwise unrelated party) fiber optic strength element businesses. Under ASC 810, a reporting entity shall consolidate a VIE when that reporting entity has a variable interest (or combination of variable interests) that provides the reporting entity with a controlling financial interest. The reporting entity shall be deemed to have a controlling financial interest in a VIE if it has both of the following characteristics: a) the power to direct the activities of a VIE that most significantly impact the VIE's economic performance; and b) the obligation to absorb losses or right to receive benefits from the VIE that could potentially be significant to the VIE. The reporting entity that consolidates a VIE is called the "primary beneficiary" of that VIE. The Company determined that it is the primary beneficiary of the VIE primarily due to Chase directing the activities that most significantly impact the VIE's economic performance, which is the actual management and operation of the joint venture and having the obligation to absorb losses and the right to receive benefits from the VIE that could potentially be significant to the VIE through our equity investment in the VIE. As a result, the Company has consolidated the operations of the joint venture in its consolidated financial statements. | ||||||||||||||||||||
Segments | ||||||||||||||||||||
The segment reporting topic of the Financial Accounting Standards Board ("FASB") codification establishes standards for reporting information about operating segments. The Company is organized into two operating segments, an Industrial Materials segment and a Construction Materials segment. The basis for this segmentation is distinguished by the nature of the products and how they are delivered to their respective markets. The Industrial Materials segment reflects specified products that are used in or integrated into another company's product with demand dependent upon general economic conditions. Industrial Materials products include insulating and conducting materials for wire and cable manufacturers, moisture protective coatings for electronics and printing services, laminated durable papers, and flexible composites and laminates for the packaging and industrial laminate markets. Effective with its acquisition in June 2012, the full listing of NEPTCO products and services are included in the Industrial Materials segment. The Construction Materials segment reflects its construction project oriented product offerings which are primarily sold and used as "Chase" branded products in final form. Construction Materials products include protective coatings for pipeline applications, coating and lining systems for use in liquid storage and containment applications, high performance polymeric asphalt additives, and expansion and control joint systems for use in the transportation and architectural markets. | ||||||||||||||||||||
Recently Issued Accounting Standards | ||||||||||||||||||||
In July 2012, the FASB issued ASU 2012-02, "Testing Indefinite-Lived Intangible Assets for Impairment." This ASU amends ASC 350, "Intangibles—Goodwill and Other" to allow entities an option to first assess qualitative factors to determine whether it is necessary to perform the quantitative impairment test. Under that option, an entity no longer would be required to calculate the fair value of the intangible asset unless the entity determines, based on that qualitative assessment, that it is more likely than not that its fair value is less than its carrying amount. The amendments in this ASU are effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012, with early adoption permitted. The adoption of ASU 2012-02 did not have an impact on the Company's consolidated financial position, results of operations or cash flows. | ||||||||||||||||||||
In February 2013, the FASB issued ASU 2013-02, "Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income." This ASU expands the presentation of changes in accumulated other comprehensive income. The new guidance requires an entity to disaggregate the total change of each component of other comprehensive income either on the face of the net income statement or as a separate disclosure in the notes. ASU 2013-02 is effective for fiscal years beginning after December 15, 2012. The adoption of this ASU is only disclosure related and will not have an impact on the Company's consolidated financial position, results of operations, comprehensive income or cash flows. ASU 2013-02 will become effective for the Company in fiscal 2014. | ||||||||||||||||||||
Inventories
Inventories | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Inventories | ' | |||||||
Inventories | ' | |||||||
Note 2—Inventories | ||||||||
Inventories consist of the following as of August 31, 2013 and 2012: | ||||||||
2013 | 2012 | |||||||
Raw materials | $ | 14,545 | $ | 12,388 | ||||
Work in process | 5,967 | 7,384 | ||||||
Finished goods | 11,536 | 12,551 | ||||||
Total Inventories | $ | 32,048 | $ | 32,323 | ||||
Property_Plant_and_Equipment
Property, Plant and Equipment | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Property, Plant and Equipment | ' | |||||||
Property, Plant and Equipment | ' | |||||||
Note 3—Property, Plant and Equipment | ||||||||
Property, plant and equipment consist of the following as of August 31, 2013 and 2012: | ||||||||
2013 | 2012 | |||||||
Property, Plant and Equipment | ||||||||
Land and improvements | $ | 5,719 | $ | 5,734 | ||||
Buildings | 20,943 | 20,373 | ||||||
Machinery and equipment | 44,284 | 43,738 | ||||||
Leasehold improvements | 2,034 | 2,160 | ||||||
Construction in progress | 3,763 | 5,811 | ||||||
76,743 | 77,816 | |||||||
Accumulated depreciation | (31,551 | ) | (28,537 | ) | ||||
Property, plant and equipment, net | $ | 45,192 | $ | 49,279 | ||||
The majority of construction in progress relates to machinery and equipment upgrades and enhancements at the NEPTCO manufacturing facilities to improve operational efficiency. | ||||||||
Goodwill_and_Intangible_Assets
Goodwill and Intangible Assets | 12 Months Ended | ||||||||||||
Aug. 31, 2013 | |||||||||||||
Goodwill and Intangible Assets | ' | ||||||||||||
Goodwill and Intangible Assets | ' | ||||||||||||
Note 4—Goodwill and Intangible Assets | |||||||||||||
The changes in the carrying value of goodwill, by operating segment, are as follows: | |||||||||||||
Construction | Industrial | Consolidated | |||||||||||
Materials | Materials | ||||||||||||
Balance at August 31, 2011 | $ | 10,661 | $ | 7,399 | $ | 18,060 | |||||||
Acquisition of NEPTCO, Inc. | — | 19,668 | 19,668 | ||||||||||
Acquisition of Capital Services—additional earnout | 87 | — | 87 | ||||||||||
Acquisition of Paper Tyger—additional earnout | — | 68 | 68 | ||||||||||
Acquisition of Metronelec assets—additional earnout | — | 203 | 203 | ||||||||||
Foreign currency translation adjustment | (8 | ) | (293 | ) | (301 | ) | |||||||
Balance at August 31, 2012 | $ | 10,740 | $ | 27,045 | $ | 37,785 | |||||||
Acquisition of NEPTCO, Inc.—working capital settlement | — | (84 | ) | (84 | ) | ||||||||
Acquisition of Paper Tyger—additional earnout | — | 141 | 141 | ||||||||||
Foreign currency translation adjustment | (5 | ) | (22 | ) | (27 | ) | |||||||
Balance at August 31, 2013 | $ | 10,735 | $ | 27,080 | $ | 37,815 | |||||||
The Company's goodwill is allocated to each reporting unit based on the nature of the products manufactured by the respective business combinations that originally created the goodwill. The Company identified several reporting units within each of its two operating segments that are used to evaluate the possible impairment of goodwill. Goodwill impairment exists when the carrying amount of goodwill exceeds its fair value. Assessments of possible impairment of goodwill are made when events or changes in circumstances indicate that the carrying value of the asset may not be recoverable through future operations. Additionally, testing for possible impairment of recorded goodwill and certain intangible asset balances is required annually. The amount and timing of any impairment charges based on these assessments require the estimation of future cash flows and the fair market value of the related assets based on management's best estimates of certain key factors, including future selling prices and volumes; operating, raw material and energy costs, and various other projected operating and economic factors. When testing, fair values of the reporting units and the related implied fair values of their respective goodwill are established using public company analysis and discounted cash flows. | |||||||||||||
The Company performs impairment reviews annually each fourth quarter (as of its fiscal year end, August 31st) and whenever events or circumstances indicate the carrying value of goodwill may not be recoverable. For fiscal 2013, the Company's review indicated no impairment of goodwill. | |||||||||||||
As of August 31, 2013, the Company had a total goodwill balance of $37,815 related to its acquisitions, of which $1,635 remains deductible for income taxes. | |||||||||||||
Intangible assets subject to amortization consist of the following as of August 31, 2013 and 2012: | |||||||||||||
Weighted-Average | Gross Carrying | Accumulated | Net Carrying | ||||||||||
Amortization Period | Value | Amortization | Value | ||||||||||
August 31, 2013 | |||||||||||||
Patents and agreements | 11.9 years | $ | 3,198 | $ | 2,200 | $ | 998 | ||||||
Formulas | 9.1 years | 5,772 | 2,238 | 3,534 | |||||||||
Trade names | 5.7 years | 6,345 | 2,055 | 4,290 | |||||||||
Customer lists and relationships | 10.2 years | 34,020 | 11,061 | 22,959 | |||||||||
$ | 49,335 | $ | 17,554 | $ | 31,781 | ||||||||
August 31, 2012 | |||||||||||||
Patents and agreements | 12.1 years | $ | 2,849 | $ | 2,177 | $ | 672 | ||||||
Formulas | 9.1 years | 5,791 | 1,683 | 4,108 | |||||||||
Trade names | 5.7 years | 6,360 | 1,022 | 5,338 | |||||||||
Customer lists and relationships | 10.2 years | 34,210 | 7,965 | 26,245 | |||||||||
$ | 49,210 | $ | 12,847 | $ | 36,363 | ||||||||
Aggregate amortization expense related to intangible assets for the years ended August 31, 2013, 2012 and 2011 was $4,793, $2,710 and $2,309, respectively. As of August 31, 2013 estimated amortization expense for each of the five succeeding fiscal years is as follows: | |||||||||||||
Years ending August 31, | |||||||||||||
2014 | $ | 4,941 | |||||||||||
2015 | 4,748 | ||||||||||||
2016 | 4,685 | ||||||||||||
2017 | 4,248 | ||||||||||||
2018 | 4,017 | ||||||||||||
$ | 22,639 | ||||||||||||
Cash_Surrender_Value_of_Life_I
Cash Surrender Value of Life Insurance | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Cash Surrender Value of Life Insurance. | ' | |||||||
Cash Surrender Value of Life Insurance | ' | |||||||
Note 5—Cash Surrender Value of Life Insurance | ||||||||
Life insurance is provided under split dollar life insurance agreements whereby the Company will recover the premiums paid from the proceeds of the policies. The Company recognizes an offset to expense for the growth in the cash surrender value of the policies. | ||||||||
The Company recognized cash surrender value of life insurance policies, net of loans of $5 at August 31, 2013 and 2012, secured by the policies, with the following carriers as of August 31, 2013 and 2012: | ||||||||
2013 | 2012 | |||||||
John Hancock | $ | 4,450 | $ | 4,343 | ||||
John Hancock (formerly Manufacturers' Life Insurance Company) | 1,009 | 954 | ||||||
Metropolitan Life Insurance | 1,739 | 1,768 | ||||||
Other life insurance carriers | 80 | 80 | ||||||
$ | 7,278 | $ | 7,145 | |||||
Subject to periodic review, the Company intends to maintain these policies through the lives or retirements of the insureds. | ||||||||
LongTerm_Debt_and_Notes_Payabl
Long-Term Debt and Notes Payable | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Long-Term Debt and Notes Payable | ' | |||||||
Long-Term Debt and Notes Payable | ' | |||||||
Note 6—Long-Term Debt and Notes Payable | ||||||||
Long-term debt consists of the following at August 31, 2013 and 2012: | ||||||||
2013 | 2012 | |||||||
Term note payable to bank in 19 quarterly installments that began in September 2012. The principal amount of the quarterly installments is $1,400 through June 2014, increasing to $1,750 per quarter thereafter through June 2015, and to $2,100 per quarter thereafter through March 2017. Interest is payable monthly at LIBOR rate plus 175 to 225 basis points, based upon the Company's consolidated leverage ratios (effective interest rate of 1.93% at August 31, 2013). Quarterly principal payments will continue through March 2017, and Chase will repay the remaining principal balance plus any interest due on the term note maturity date of June 27, 2017. | $ | 64,400 | $ | 70,000 | ||||
64,400 | 70,000 | |||||||
Less portion payable within one year classified as current | (5,600 | ) | (5,600 | ) | ||||
Long-term debt, less current portion | $ | 58,800 | $ | 64,400 | ||||
The Company has a revolving line of credit totaling $15,000 with Bank of America that bears interest at London Interbank Offered Rate (LIBOR) plus a range of 1.75% to 2.25%, depending on the consolidated leverage ratio of Chase Corporation, or, at our option, at the bank's base lending rate. As of August 31, 2013, the entire amount of $15,000 was available for use. The revolving line of credit is scheduled to mature in June 2017. This revolving line of credit allows for increased flexibility for working capital requirements going forward, and we plan to use this availability to help finance our cash needs, including potential acquisitions, in fiscal 2014 and future periods. | ||||||||
Our credit agreement with Bank of America, which outlines the terms of both the term note payable and the revolving line of credit, contains customary affirmative and negative covenants that, among other things, restrict our ability to incur additional indebtedness. It also requires the Company to maintain a ratio of consolidated indebtedness to consolidated EBITDA (each as defined in the agreement) of no more than 3.00 to 1.00, and to maintain a consolidated fixed charge coverage ratio (as calculated in the agreement) of at least 1.25 to 1.00. The Company was in compliance with its debt covenants as of August 31, 2013. | ||||||||
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||
Aug. 31, 2013 | |||||||||||
Income Taxes | ' | ||||||||||
Income Taxes | ' | ||||||||||
Note 7—Income Taxes | |||||||||||
Domestic and foreign pre-tax income for the years ended August 31, 2013, 2012 and 2011 was: | |||||||||||
Year Ended August 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
United States | $ | 23,562 | $ | 12,767 | $ | 14,419 | |||||
Foreign | 2,248 | 1,229 | 1,754 | ||||||||
$ | 25,810 | $ | 13,996 | $ | 16,173 | ||||||
The provision (benefit) for income taxes for the years ended August 31, 2013, 2012 and 2011 was: | |||||||||||
Year Ended August 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Current: | |||||||||||
Federal | $ | 8,112 | $ | 5,073 | $ | 4,536 | |||||
State | 1,652 | 392 | 210 | ||||||||
Foreign | 1,043 | 287 | 1,039 | ||||||||
Total current income tax provision | 10,807 | 5,752 | 5,785 | ||||||||
Deferred: | |||||||||||
Federal | (1,302 | ) | (860 | ) | (47 | ) | |||||
State | (92 | ) | (150 | ) | 2 | ||||||
Foreign | (343 | ) | (10 | ) | (498 | ) | |||||
Total deferred income tax benefit | (1,737 | ) | (1,020 | ) | (543 | ) | |||||
Total income tax provision | $ | 9,070 | $ | 4,732 | $ | 5,242 | |||||
The provision (benefit) for income taxes differs from the amount computed by applying the federal statutory income tax rate to income before income taxes. The Company's combined federal, state and foreign effective tax rate as a percentage before taxes for fiscal 2013, 2012 and 2011, net of offsets generated by federal, state and foreign tax benefits, was 35.1%, 33.8% and 32.4%, respectively. The following is a reconciliation of the effective income tax rate with the U.S. federal statutory income tax rate for the years ended August 31, 2013, 2012 and 2011: | |||||||||||
Year Ended August 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Federal statutory rates | 35 | % | 35 | % | 35 | % | |||||
Adjustment resulting from the tax effect of: | |||||||||||
State and local taxes, net of federal benefit | 3.8 | % | 1.1 | % | 1.1 | % | |||||
Domestic production deduction | (3.3 | )% | (3.5 | )% | (3.0 | )% | |||||
Foreign tax rate differential | (0.7 | )% | (0.6 | )% | (0.7 | )% | |||||
Adjustment to uncertain tax position | (1.1 | )% | (1.3 | )% | — | ||||||
Transaction costs not deductible | — | 2.6 | % | — | |||||||
Research credit generated | (1.2 | )% | (0.8 | )% | (0.7 | )% | |||||
Noncontrolling partnership interest | 0.6 | % | — | — | |||||||
Tax effect of undistributed earnings | 0.6 | % | 0.1 | % | 0.3 | % | |||||
Other | 1.4 | % | 1.2 | % | 0.4 | % | |||||
Effective income tax rate | 35.1 | % | 33.8 | % | 32.4 | % | |||||
The following table summarizes the tax effect of temporary differences on the Company's income tax provision: | |||||||||||
Year Ended August 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Current income tax provision | $ | 10,807 | $ | 5,752 | $ | 5,785 | |||||
Deferred provision (benefit): | |||||||||||
Allowance for doubtful accounts | (15 | ) | (39 | ) | 9 | ||||||
Inventories | (259 | ) | (640 | ) | (248 | ) | |||||
Pension expense | (207 | ) | 446 | 210 | |||||||
Deferred compensation | (51 | ) | (70 | ) | (15 | ) | |||||
Loan finance costs | 66 | (116 | ) | — | |||||||
Accruals | 861 | (177 | ) | (56 | ) | ||||||
Warranty reserve | — | (56 | ) | (6 | ) | ||||||
Depreciation and amortization | (1,836 | ) | (701 | ) | 66 | ||||||
Restricted stock grant | (102 | ) | (74 | ) | (391 | ) | |||||
Unrepatriated earnings | 1,572 | (133 | ) | 1,137 | |||||||
Foreign taxes net of unrepatriated earnings | (1,425 | ) | 497 | (1,086 | ) | ||||||
Foreign amortization | (105 | ) | (134 | ) | (112 | ) | |||||
Other accrued expenses | (236 | ) | 177 | (51 | ) | ||||||
Total deferred income tax benefit | (1,737 | ) | (1,020 | ) | (543 | ) | |||||
Total income tax provision | $ | 9,070 | $ | 4,732 | $ | 5,242 | |||||
The following table summarizes the tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities: | |||||||||||
As of August 31, | |||||||||||
2013 | 2012 | ||||||||||
Current: | |||||||||||
Deferred tax assets: | |||||||||||
Allowance for doubtful accounts | $ | 330 | $ | 314 | |||||||
Inventories | 1,291 | 1,032 | |||||||||
Accruals | 504 | 858 | |||||||||
Warranty reserve | 82 | 82 | |||||||||
Current deferred tax assets | 2,207 | 2,286 | |||||||||
Deferred tax liabilities: | |||||||||||
Prepaid liabilities | (92 | ) | (78 | ) | |||||||
Current deferred tax liabilities | (92 | ) | (78 | ) | |||||||
Current deferred tax assets, net | 2,115 | 2,208 | |||||||||
Noncurrent: | |||||||||||
Deferred tax assets: | |||||||||||
Pension accrual | 2,162 | 2,138 | |||||||||
Deferred compensation | 775 | 724 | |||||||||
Loan finance costs | 50 | 116 | |||||||||
Unrealized gain/loss on restricted investments | (23 | ) | (4 | ) | |||||||
Restricted stock grants | 1,122 | 1,029 | |||||||||
Non qualified stock options | 16 | 16 | |||||||||
Foreign tax credits | 6,326 | 4,901 | |||||||||
Foreign other | 256 | 39 | |||||||||
Other | — | 331 | |||||||||
Noncurrent deferred tax assets | 10,684 | 9,290 | |||||||||
Deferred tax liabilities: | |||||||||||
Unrepatriated earnings | (6,515 | ) | (4,901 | ) | |||||||
Foreign intangibles | 118 | 18 | |||||||||
Depreciation and amortization | (13,780 | ) | (15,350 | ) | |||||||
Other | 26 | — | |||||||||
Noncurrent deferred tax liabilities | (20,151 | ) | (20,233 | ) | |||||||
Noncurrent deferred tax liabilities, net | (9,467 | ) | (10,943 | ) | |||||||
Net deferred tax liabilities | $ | (7,352 | ) | $ | (8,735 | ) | |||||
A summary of the Company's adjustments to its uncertain tax positions in fiscal years ended August 31, 2013, 2012 and 2011 are as follows: | |||||||||||
2013 | 2012 | 2011 | |||||||||
Balance, at beginning of the year | $ | 1,180 | $ | 893 | $ | 887 | |||||
Increase for tax positions related to the current year | 17 | 19 | 50 | ||||||||
Increase / (decrease) for tax positions related to prior years | 73 | (176 | ) | (44 | ) | ||||||
Increase for amounts recorded in acquisition accounting | — | 465 | — | ||||||||
Decreases for settlements with applicable taxing authorities | — | (21 | ) | — | |||||||
Decreases for lapses of statute of limitations | (370 | ) | — | — | |||||||
Balance, at end of year | $ | 900 | $ | 1,180 | $ | 893 | |||||
The unrecognized tax benefits mentioned above include an aggregate of $410 of accrued interest and penalty balances related to uncertain tax positions. The Company recognizes interest and penalties related to uncertain tax positions in income tax expense. An increase in accrued interest and penalty charges of approximately $10, net of federal tax expense, was recorded as a tax expense during the current fiscal year. The Company does not anticipate that its accrual for uncertain tax positions will be reduced by a material amount over the next twelve month period, as it does not expect to settle any potential disputed items with the appropriate taxing authorities nor does it expect the statute of limitations to expire for any items. | |||||||||||
The Company is subject to U.S. federal income tax, as well as to income tax of multiple state and foreign tax jurisdictions. The statute of limitations for all material U.S. federal, state, and local tax filings remains open for fiscal years subsequent to 2009. In addition, the statute of limitations with regard to certain federal tax returns of the entities acquired in the NEPTCO acquisition remains open for 2004 and 2005. For foreign jurisdictions, the statute of limitations remains open in the UK for fiscal years subsequent to 2009 and in France for fiscal years subsequent to 2012. | |||||||||||
Capital_and_Operating_Leases
Capital and Operating Leases | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Capital and Operating Leases | ' | |||||||
Capital and Operating Leases | ' | |||||||
Note 8—Capital and Operating Leases | ||||||||
The Company is obligated under various capital and operating leases, primarily for real property and equipment. Future minimum lease payments under non-cancelable operating leases (with initial or remaining lease terms in excess of one year), and the present value of future minimum capital lease payments as of August 31, 2013, are as follows: | ||||||||
Year ending August 31, | Future Capital | Future Operating | ||||||
Lease Payments | Lease Payments | |||||||
2014 | $ | 17 | $ | 856 | ||||
2015 | 16 | 705 | ||||||
2016 | 7 | 674 | ||||||
2017 | — | 659 | ||||||
2018 | — | 644 | ||||||
2019 and thereafter | — | 3,706 | ||||||
Total future minimum lease payments | $ | 40 | $ | 7,244 | ||||
Less: interest (at rates ranging from 4% to 8%) | (4 | ) | ||||||
$ | 36 | |||||||
Less: current portion | (14 | ) | ||||||
$ | 22 | |||||||
Total rental expense for all operating leases amounted to $1,761, $1,178 and $1,103 for the years ended August 31, 2013, 2012 and 2011, respectively. | ||||||||
Benefits_and_Pension_Plans
Benefits and Pension Plans | 12 Months Ended | |||||||||||||||||||||||||
Aug. 31, 2013 | ||||||||||||||||||||||||||
Benefits and Pension Plans | ' | |||||||||||||||||||||||||
Benefits and Pension Plans | ' | |||||||||||||||||||||||||
Note 9—Benefits and Pension Plans | ||||||||||||||||||||||||||
401(k) Plan | ||||||||||||||||||||||||||
The Company has a defined contribution plan adopted pursuant to Section 401(k) of the Internal Revenue Code of 1986. Any qualified employee who has attained age 21 and has been employed by the Company for at least six months may contribute a portion of his or her salary to the plan and the Company will match 100% of the first percent of salary contributed and 50% thereafter, up to an amount equal to three and one half percent of such employee's annual salary. | ||||||||||||||||||||||||||
NEPTCO has two 401(k) savings plans, one for union employees and one for non-union employees. Under these plans, substantially all employees of NEPTCO are eligible to participate by making before-tax contributions to these plans. Participants may elect to defer between 1% and 10% of their annual compensation. The Company may contribute $0.75 for each $1.00 of participant deferrals up to 3% of the non-union participant's compensation. The Company may match union employee contributions by $0.50 for each $1.00 of participant deferrals up to 3% of the participant's compensation. | ||||||||||||||||||||||||||
The Company's contribution expense for all 401(k) plans was $351, $294 and $297 for the years ended August 31, 2013, 2012 and 2011, respectively. | ||||||||||||||||||||||||||
Non-Qualified Deferred Savings Plan | ||||||||||||||||||||||||||
The Company has a non-qualified deferred savings plan covering the Board of Directors and a separate plan covering selected employees. Participants may elect to defer a portion of their compensation for future payment. The plans are funded by trusteed assets that are restricted to the payment of deferred compensation or satisfaction of the Company's general creditors. The Company's liability under the plan was $1,094 and $874 at August 31, 2013 and 2012, respectively. | ||||||||||||||||||||||||||
Pension Plans | ||||||||||||||||||||||||||
The Company has non-contributory defined benefit pension plans covering employees of certain divisions of the Company. The Company has a funded, qualified plan ("Qualified Plan") and an unfunded supplemental plan ("Supplemental Plan") designed to maintain benefits for certain employees at the plan formula level. The plans provide for pension benefits determined by a participant's years of service and final average compensation. The Qualified Plan assets consist of separate pooled investment accounts with a trust company. The measurement date for the plans is August 31, 2013. | ||||||||||||||||||||||||||
Effective December 1, 2008, a soft freeze in the Qualified Plan was adopted whereby no new employees hired will be admitted to the Qualified Plan, with the exception of the International Association of Machinists and Aerospace Workers Union whose contract was amended in June 2012 to include a soft freeze whereby any employees hired after the effective date of July, 15, 2012 will not be admitted to the plan. All eligible participants who were previously admitted to the plan prior to the December 1, 2008 and July 15, 2012 soft freeze dates, respectively, will continue to accrue benefits as detailed in the plan agreements. | ||||||||||||||||||||||||||
NEPTCO has a defined benefit pension plan ("NEPTCO Pension Plan") covering substantially all of its union employees at its Pawtucket facility. This plan was frozen effective October 31, 2006, and as a result, no new participants can enter the plan and the benefits of current participants were frozen as of that date. The benefits are based on years of service and the employee's average compensation during the earlier of five years before retirement, or October 31, 2006. The NEPTCO Pension Plan assets consist of separate pooled investment accounts with a trust company. The measurement date for the NEPTCO Pension Plan is August 31, 2013. | ||||||||||||||||||||||||||
The following tables reflect the status of the Company's pension plans for the years ended August 31, 2013, 2012 and 2011: | ||||||||||||||||||||||||||
Year Ended August 31, | ||||||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||||||
Change in benefit obligation | ||||||||||||||||||||||||||
Projected benefit obligation at beginning of year | $ | 17,322 | $ | 13,953 | $ | 12,044 | ||||||||||||||||||||
Acquired benefit obligation for Neptco pension plan | — | 1,806 | — | |||||||||||||||||||||||
Service cost | 352 | 482 | 526 | |||||||||||||||||||||||
Interest cost | 503 | 532 | 430 | |||||||||||||||||||||||
Actuarial (gain) loss | 1,019 | 1,908 | 1,013 | |||||||||||||||||||||||
Curtailments | 24 | — | — | |||||||||||||||||||||||
Settlements | (3,443 | ) | (1,316 | ) | — | |||||||||||||||||||||
Benefits paid | (126 | ) | (43 | ) | (60 | ) | ||||||||||||||||||||
Projected benefit obligation at end of year | $ | 15,651 | $ | 17,322 | $ | 13,953 | ||||||||||||||||||||
Change in plan assets | ||||||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 9,405 | $ | 7,235 | $ | 6,022 | ||||||||||||||||||||
Fair value of Neptco pension plan assets | — | 884 | — | |||||||||||||||||||||||
Actual return on plan assets | 690 | 752 | 519 | |||||||||||||||||||||||
Employer contribution | 2,300 | 1,893 | 754 | |||||||||||||||||||||||
Settlements | (3,443 | ) | (1,316 | ) | — | |||||||||||||||||||||
Benefits paid | (126 | ) | (43 | ) | (60 | ) | ||||||||||||||||||||
Fair value of plan assets at end of year | $ | 8,826 | $ | 9,405 | $ | 7,235 | ||||||||||||||||||||
Funded status at end of year | $ | (6,825 | ) | $ | (7,917 | ) | $ | (6,718 | ) | |||||||||||||||||
Amounts recognized in consolidated balance sheets | ||||||||||||||||||||||||||
Non-current assets | $ | 1,014 | $ | — | $ | — | ||||||||||||||||||||
Current liabilities | (5 | ) | (215 | ) | (5 | ) | ||||||||||||||||||||
Non-current liabilities | (7,834 | ) | (7,702 | ) | (6,713 | ) | ||||||||||||||||||||
Net amount recognized in Consolidated Balance Sheets | $ | (6,825 | ) | $ | (7,917 | ) | $ | (6,718 | ) | |||||||||||||||||
Actuarial present value of benefit obligation and funded status | ||||||||||||||||||||||||||
Accumulated benefit obligations | $ | 13,842 | $ | 14,735 | $ | 11,954 | ||||||||||||||||||||
Projected benefit obligations | $ | 15,651 | $ | 17,322 | $ | 13,953 | ||||||||||||||||||||
Plan assets at fair value | $ | 8,826 | $ | 9,405 | $ | 7,235 | ||||||||||||||||||||
Amounts recognized in accumulated other comprehensive Income | ||||||||||||||||||||||||||
Prior service cost | $ | 67 | $ | 82 | $ | 156 | ||||||||||||||||||||
Net actuarial loss | 5,561 | 6,029 | 5,164 | |||||||||||||||||||||||
Adjustment to pre-tax accumulated other comprehensive income | $ | 5,628 | $ | 6,111 | $ | 5,320 | ||||||||||||||||||||
Other changes in plan assets and benefit obligations recognized in other comprehensive income | ||||||||||||||||||||||||||
Net (gain) or loss | $ | 979 | $ | 1,691 | $ | 934 | ||||||||||||||||||||
Amortization of loss | (250 | ) | (276 | ) | (239 | ) | ||||||||||||||||||||
Prior service cost | — | — | — | |||||||||||||||||||||||
Amortization of prior service cost | (13 | ) | (74 | ) | (74 | ) | ||||||||||||||||||||
Effect of settlement on accumulated other comprehensive income | (1,198 | ) | (550 | ) | — | |||||||||||||||||||||
Total recognized in other comprehensive income | (482 | ) | 791 | 621 | ||||||||||||||||||||||
Net periodic pension cost | 1,690 | 1,378 | 829 | |||||||||||||||||||||||
Total recognized in net periodic pension cost and other comprehensive income | $ | 1,208 | $ | 2,169 | $ | 1,450 | ||||||||||||||||||||
Estimated amounts that will be amortized from accumulated comprehensive income over the next fiscal year | ||||||||||||||||||||||||||
Prior service cost | $ | 3 | $ | 14 | $ | 74 | ||||||||||||||||||||
Net actuarial loss or (gain) | 293 | 337 | 276 | |||||||||||||||||||||||
Prior service cost arose from the amendment of the plan's benefit schedules to comply with the Tax Reform Act of 1986 and adoption of the unfunded supplemental pension plan. | ||||||||||||||||||||||||||
Components of net periodic pension cost for the fiscal years ended August 31, 2013, 2012 and 2011 included the following: | ||||||||||||||||||||||||||
Year Ended August 31, | ||||||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||||||
Components of net periodic benefit cost | ||||||||||||||||||||||||||
Service cost | $ | 352 | $ | 482 | $ | 526 | ||||||||||||||||||||
Interest cost | 503 | 532 | 430 | |||||||||||||||||||||||
Expected return on plan assets | (651 | ) | (536 | ) | (440 | ) | ||||||||||||||||||||
Amortization of prior service cost | 13 | 74 | 74 | |||||||||||||||||||||||
Amortization of accumulated (gain)/loss | 250 | 276 | 239 | |||||||||||||||||||||||
Settlement and curtailment (gain)/loss | 1,223 | 550 | — | |||||||||||||||||||||||
Net periodic benefit cost | $ | 1,690 | $ | 1,378 | $ | 829 | ||||||||||||||||||||
Weighted-average assumptions used to determine benefit obligations as of August 31, 2013, 2012 and 2011 are as follows: | ||||||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||||||
Discount rate | ||||||||||||||||||||||||||
Qualified plan | 4.54 | % | 3.4 | % | 4.73 | % | ||||||||||||||||||||
Supplemental plan | 3.76 | % | 3.14 | % | 3 | % | ||||||||||||||||||||
Neptco plan | 4.63 | % | 3.77 | % | N/A | |||||||||||||||||||||
Rate of compensation increase | ||||||||||||||||||||||||||
Qualified and supplemental plan | 3.5 | % | 3.5 | % | 3.5 | % | ||||||||||||||||||||
Neptco plan | 0 | % | 0 | % | N/A | |||||||||||||||||||||
Weighted-average assumptions used to determine net periodic benefit cost for the years ended August 31, 2013, 2012 and 2011 are as follows: | ||||||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||||||
Discount rate | ||||||||||||||||||||||||||
Qualified plan | 3.4 | % | 4.73 | % | 4.45 | % | ||||||||||||||||||||
Supplemental plan | 3.14 | % | 3 | % | 2.51 | % | ||||||||||||||||||||
Neptco plan | 3.77 | % | 4.08 | % | N/A | |||||||||||||||||||||
Expected long-term return on plan assets | ||||||||||||||||||||||||||
Qualified plan | 8 | % | 8 | % | 8 | % | ||||||||||||||||||||
Supplemental plan | 0 | % | 0 | % | 0 | % | ||||||||||||||||||||
Neptco plan | 8 | % | 8 | % | N/A | |||||||||||||||||||||
Rate of compensation increase | ||||||||||||||||||||||||||
Qualified and supplemental plan | 3.5 | % | 3.5 | % | 3.5 | % | ||||||||||||||||||||
Neptco plan | 0 | % | 0 | % | N/A | |||||||||||||||||||||
It is the Company's policy to evaluate, on an annual basis, the discount rate used to determine the projected benefit obligation to approximate rates on high-quality, long-term obligations. The Moody's Corporate Aa Bond index has generally been used as a benchmark for this purpose, with adjustments made if the duration of the index differed from that of the plan. For periods since August 31, 2008, the discount rate has been determined by matching the expected payouts from the respective plans to the spot rates inherent in the Citigroup Pension Discount Curve. A single rate is then developed, that when applied to the expected cash flows, results in the same present value as determined using the various spot rates. The Company believes that this approach produces the most appropriate approximation of the plan liability. | ||||||||||||||||||||||||||
The Company estimates that each 100 basis point reduction in the discount rate would result in additional net periodic pension cost, the Company's primary pension obligation, of approximately $73 for the Qualified Plan and $29 for the Supplemental Plan. For the current fiscal year, the NEPTCO Pension Plan expense is insignificant so sensitivity disclosure is not presented. The expected return on plan assets is derived from a periodic study of long-term historical rates of return on the various asset classes included in the Company's targeted pension plan asset allocation. The Company estimates that each 100 basis point reduction in the expected return on plan assets would result in additional net periodic pension cost of approximately $76 for the Qualified Plan. No rate of return is assumed for the Supplemental Plan since that plan is currently not funded. The rate of compensation increase is also evaluated and is adjusted by the Company, if necessary, periodically. | ||||||||||||||||||||||||||
Qualified Plan Assets | ||||||||||||||||||||||||||
The investment policy for the Qualified Plan is based on ERISA standards for prudent investing. The fundamental goal underlying the investment policy is to ensure that the assets of the plans are invested in a prudent manner to meet the obligations of the plans as these obligations come due. The primary investment objectives include providing a total return which will promote the goal of benefit security by attaining an appropriate ratio of plan assets to plan obligations, to provide for real asset growth while also tracking plan obligations, to diversify investments across and within asset classes, to reduce the impact of losses in single investments, and to follow investment practices that comply with applicable laws and regulations. | ||||||||||||||||||||||||||
The primary policy objectives will be met by investing assets to achieve a reasonable tradeoff between return and risk relative to the plans' obligations. This includes investing a portion of the assets in funds selected in part to hedge the interest rate sensitivity to plan obligations. | ||||||||||||||||||||||||||
The Qualified Plan assets are invested in a diversified mix of United States equity and fixed income securities. Asset manager performance is reviewed at least annually and benchmarked against the peer universe for the given investment style. The Company's expected return for the Qualified Plan is 8.0%. To determine the expected long-term rate of return on the assets for the Qualified Plan, the Company considered the historical and expected return on the plan assets, as well as the current and expected allocation of the plan assets. | ||||||||||||||||||||||||||
Asset allocation is monitored on an ongoing basis relative to the established asset class targets. The interaction between plan assets and benefit obligations is periodically studied to assist in the establishment of strategic asset allocation targets. The investment policy permits variances from the targets within certain parameters. Asset rebalancing occurs when the underlying asset class allocations move outside these parameters at which time the asset allocation is rebalanced back to the policy target weight. | ||||||||||||||||||||||||||
The Qualified Plan has the following target allocation and weighted-average asset allocations as of August 31, 2013, 2012 and 2011: | ||||||||||||||||||||||||||
Percentage of Plan Assets as of August 31, | ||||||||||||||||||||||||||
Target Allocation Range | ||||||||||||||||||||||||||
Asset Category | 2013 | 2012 | 2011 | |||||||||||||||||||||||
Equity securities | 40-70% | 56% | 54% | 53% | ||||||||||||||||||||||
Debt securities | 20-50% | 40% | 39% | 42% | ||||||||||||||||||||||
Real estate | 0-15% | 4% | 5% | 5% | ||||||||||||||||||||||
Other | 0-10% | 0% | 2% | 0% | ||||||||||||||||||||||
Total | 100% | 100% | 100% | 100% | ||||||||||||||||||||||
NEPTCO Pension Plan Assets | ||||||||||||||||||||||||||
The investment policy for the NEPTCO Pension Plan is based on ERISA standards for prudent investing. The fundamental goal underlying the investment policy is to ensure that the assets of the plans are invested in a prudent manner to meet the obligations of the plan as these obligations come due. The primary investment objectives include maximization of return within reasonable and prudent levels of risk, provision of returns comparable to returns for similar investment options, provision of exposure to a wide range of investment opportunities in various asset classes and vehicles, control administrative and management costs, provision of appropriate diversification within investment vehicles, and govern investment manager's adherence to stated investment objectives and style. | ||||||||||||||||||||||||||
The primary policy objectives will be met by investing assets to achieve a reasonable tradeoff between return and risk relative to the plans' obligations. This includes investing a portion of the assets in funds selected in part to hedge the interest rate sensitivity to plan obligations. | ||||||||||||||||||||||||||
The NEPTCO Pension Plan assets are invested in a diversified mix of fixed income, and both domestic and foreign equity investments. The ongoing monitoring of investments is a regular and disciplined process and confirms that the criteria remain satisfied. The process of monitoring investment performance relative to specified guidelines is consistently applied. | ||||||||||||||||||||||||||
The Company's expected return for the NEPTCO Pension Plan is 8.0%. To determine the expected long-term rate of return on the assets for the NEPTCO Pension Plan, the Company considered the historical and expected return on the plan assets, as well as the current and expected allocation of the plan assets. | ||||||||||||||||||||||||||
The NEPTCO Pension Plan has the following target allocation and weighted-average asset allocations as of August 31, 2013 and 2012: | ||||||||||||||||||||||||||
Percentage of | ||||||||||||||||||||||||||
Plan Assets as of | ||||||||||||||||||||||||||
Target | August 31, | |||||||||||||||||||||||||
Allocation | ||||||||||||||||||||||||||
Asset Category | Range | 2013 | 2012 | |||||||||||||||||||||||
Equity securities | 20-65% | 56% | 50% | |||||||||||||||||||||||
Debt securities | 35-80% | 44% | 50% | |||||||||||||||||||||||
Total | 100% | 100% | 100% | |||||||||||||||||||||||
Fair Market Value of Pension Plan Assets | ||||||||||||||||||||||||||
The Company is required to categorize pension plan assets using a three-tier fair value hierarchy, which classifies the inputs used in measuring fair values. These tiers include: Level 1, defined as observable inputs such as quoted prices for identical instruments in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions. | ||||||||||||||||||||||||||
The following table presents the Company's pension plans' assets at August 31, 2013 and 2012 by asset category: | ||||||||||||||||||||||||||
Fair value measurements at | Fair value measurements at | |||||||||||||||||||||||||
August 31, 2013: | August 31, 2012: | |||||||||||||||||||||||||
August 31, | Quoted prices | Significant | Significant | August 31, | Quoted prices | Significant | Significant | |||||||||||||||||||
2013 | in active | other | unobservable | 2012 | in active | other | unobservable | |||||||||||||||||||
markets | observable | inputs | markets | observable | inputs | |||||||||||||||||||||
(Level 1) | inputs | (Level 3) | (Level 1) | inputs | (Level 3) | |||||||||||||||||||||
(Level 2) | (Level 2) | |||||||||||||||||||||||||
Asset Category | ||||||||||||||||||||||||||
Equity securities | $ | 4,939 | $ | 4,056 | $ | 883 | $ | — | $ | 5,240 | $ | 4,567 | $ | 673 | $ | — | ||||||||||
Debt securities | 3,553 | 2,795 | 758 | — | 3,745 | 3,037 | 708 | — | ||||||||||||||||||
Real estate | 334 | — | 334 | — | 420 | — | 420 | — | ||||||||||||||||||
Other | — | — | — | — | — | — | — | — | ||||||||||||||||||
Total | $ | 8,826 | $ | 6,851 | $ | 1,975 | $ | — | $ | 9,405 | $ | 7,604 | $ | 1,801 | $ | — | ||||||||||
Level 1 Assets: The fair values of the common stocks, corporate bonds and U.S. Government securities included in this tier are based on the closing price reported on the active market where the individual securities are traded. | ||||||||||||||||||||||||||
Level 2 Assets: The fair values of the common/collective trust funds included in this tier are not traded on active markets. These common/collective trust funds are valued based on the calculated unit values. The unit values are based on the fair value of the underlying assets of the common/collective trust funds derived from inputs principally based on quoted market prices in an active market or corroborated by observable market data by correlation or other means. | ||||||||||||||||||||||||||
Estimated Future Benefit Payments | ||||||||||||||||||||||||||
The following pension benefit payments (which include expected future service) are assumed to be paid in each of the following fiscal years based on the participants' normal retirement age: | ||||||||||||||||||||||||||
Year ending August 31, | Pension Benefits | |||||||||||||||||||||||||
2014 | $ | 7,667 | ||||||||||||||||||||||||
2015 | 262 | |||||||||||||||||||||||||
2016 | 277 | |||||||||||||||||||||||||
2017 | 357 | |||||||||||||||||||||||||
2018 | 771 | |||||||||||||||||||||||||
2019-2023 | $ | 2,820 | ||||||||||||||||||||||||
The Company contributed $2,300, $1,893 and $754 to fund its obligations under the pension plans for the years ended August 31, 2013, 2012 and 2011, respectively. The Company plans to make the necessary contributions during fiscal 2014 to ensure their pension plans continue to be adequately funded given the current market conditions. | ||||||||||||||||||||||||||
Stockholders_Equity
Stockholders' Equity | 12 Months Ended | ||||||||||||||||||||||
Aug. 31, 2013 | |||||||||||||||||||||||
Stockholders' Equity | ' | ||||||||||||||||||||||
Stockholders' Equity | ' | ||||||||||||||||||||||
Note 10—Stockholders' Equity | |||||||||||||||||||||||
2013 Equity Incentive Plan | |||||||||||||||||||||||
In October 2012, the Company adopted and the stockholders subsequently approved the 2013 Equity Incentive Plan (the "2013 Plan"). The 2013 Plan permits the grant of restricted stock, stock options, deferred stock, stock payments or other awards to employees, participating officers, directors, consultants and advisors who are linked directly to increases in shareholder value. The aggregate number of shares available for grant under the 2013 Plan is 1,200,000. Additional shares may become available in connection with share splits, share dividends or similar transactions. As of August 31, 2013, the Company had not yet made any awards under the 2013 Plan. | |||||||||||||||||||||||
2005 Incentive Plan | |||||||||||||||||||||||
In November 2005, the Company adopted and the stockholders subsequently approved the 2005 Incentive Plan (the "2005 Plan"). The 2005 Plan permits the grant of restricted stock, stock options, deferred stock, stock payments or other awards to employees, participating officers, directors, consultants and advisors who are linked directly to increases in shareholder value. The aggregate number of shares available for grant under the 2005 Plan was initially 1,000,000. Additional shares may become available in connection with share splits, share dividends or similar transactions. As of August 31, 2013, 77,174 shares remained available for future grant under the 2005 Plan. | |||||||||||||||||||||||
2001 Senior Management Stock Plan and 2001 Non-Employee Director Stock Option Plan | |||||||||||||||||||||||
In October 2002, the Company adopted, and the stockholders subsequently approved, the 2001 Senior Management Stock Plan and the 2001 Non-Employee Director Stock Option Plan (the "2001 Plans"). The 2001 Plans reserved 1,500,000 and 180,000 shares of the Company's common stock for grants related to the Senior Management Stock Plan and Non-Employee Director Stock Option Plan, respectively. | |||||||||||||||||||||||
Under the terms of the Senior Management Stock Plan, equity awards may be granted in the form of incentive stock options, non-qualified stock options and restricted stock. Options granted under the Non-Employee Director Stock Option Plan were issued as non-qualified stock options. Options granted under the 2001 Plans generally vest over a period ranging from three to five years and expire after ten years. | |||||||||||||||||||||||
The Company is no longer granting equity awards under the 2001 Plans. | |||||||||||||||||||||||
Restricted Stock | |||||||||||||||||||||||
Employees and Executive Management | |||||||||||||||||||||||
In August 2008, the Board of Directors of the Company approved a plan for issuing a performance and service based restricted stock grant of 50,657 shares in the aggregate, subject to adjustment, to key members of management with an issue date of September 1, 2008 and a vesting date of August 31, 2011. Based on the fiscal year 2009 financial results, the aggregate size of the grant was reduced by 15,944 shares of restricted stock subsequent to the end of fiscal year 2009 in accordance with the performance measurement criteria. The adjusted restricted stock award of 34,713 shares was issued in the form of common stock on August 31, 2011 upon vesting. Compensation expense was recognized on a ratable basis over the vesting period. | |||||||||||||||||||||||
In August 2009, the Board of Directors of Chase Corporation approved a plan for issuing a performance and service based restricted stock grant of 76,874 shares in the aggregate, subject to adjustment, to key members of management with an issue date of September 1, 2009 and a vesting date of August 31, 2012. Based on the fiscal year 2010 financial results, 68,453 additional shares of restricted stock were earned and granted subsequent to the end of fiscal year 2010 in accordance with the performance measurement criteria. The adjusted restricted stock award of 145,327 shares was issued in the form of common stock on August 31, 2012 upon vesting. Compensation expense was recognized on a ratable basis over the vesting period. | |||||||||||||||||||||||
In December 2009, restricted stock in amounts of 2,377 and 8,421 shares related to the September 2008 and 2009 grants, respectively, were forfeited in conjunction with the retirement of an executive officer of the Company. | |||||||||||||||||||||||
In August 2010, the Board of Directors of the Company approved the fiscal year 2011 Long Term Incentive Plan ("LTIP") for the executive officers. The fiscal 2011 LTIP is an equity based plan with a grant date of September 1, 2010. In addition to the stock option component described below, the plan contained the following restricted stock components: (a) a performance and service based restricted stock grant of 32,835 shares in the aggregate, subject to adjustment, with a vesting date of August 31, 2013, for which compensation expense was recognized on a ratable basis over the vesting period based on quarterly probability assessments; and (b) a time-based restricted stock grant of 16,417 shares in the aggregate, and a vesting date of August 31, 2013, for which compensation expense was recognized on a ratable basis over the vesting period. | |||||||||||||||||||||||
Based on the fiscal year 2011 financial results, 32,835 additional shares of restricted stock (total of 65,670 shares) were earned and granted subsequent to the end of fiscal year 2011 in accordance with the performance measurement criteria. No further performance-based measurements apply to this award. | |||||||||||||||||||||||
In April 2011, the Board of Directors of the Company approved a plan for issuing a time-based restricted stock grant of 4,249 shares in the aggregate to certain non-executive officer employees, with an issue date of April 30, 2011 and a vesting date of April 30, 2014. Compensation expense is being recognized on a ratable basis over the vesting period. | |||||||||||||||||||||||
In August 2011, the Board of Directors of the Company approved the fiscal year 2012 LTIP for the executive officers. The fiscal 2012 LTIP is an equity based plan with a grant date of September 1, 2011. In addition to the stock option component described below, the plan contained the following restricted stock components: (a) a performance and service based restricted stock grant of 33,798 shares in the aggregate, subject to adjustment, with a vesting date of August 31, 2014, for which compensation expense is recognized on a ratable basis over the vesting period based on quarterly probability assessments; and (b) a time-based restricted stock grant of 16,899 shares in the aggregate, and a vesting date of August 31, 2014, for which compensation expense is recognized on a ratable basis over the vesting period. | |||||||||||||||||||||||
Based on the fiscal year 2012 financial results, 33,798 additional shares of restricted stock (total of 67,596 shares) were earned and granted subsequent to the end of fiscal year 2012 in accordance with the performance measurement criteria. No further performance-based measurements apply to this award. | |||||||||||||||||||||||
In August 2011, the Board of Directors of the Company approved a plan for issuing a time-based restricted stock grant of 5,037 shares in the aggregate to certain non-executive officer employees, with an issue date of September 1, 2011 and a vesting date of August 31, 2014. Compensation expense is being recognized on a ratable basis over the vesting period. | |||||||||||||||||||||||
In December 2011, restricted stock in the amount of 1,887 shares related to the April 2011 grant was forfeited in conjunction with the termination of employment of a non-executive officer of the Company. | |||||||||||||||||||||||
In March 2012, the Board of Directors of the Company approved a plan for issuing a time-based restricted stock grant of 1,368 shares to a non-executive officer employee, with an issue date of March 8, 2012 and a vesting date of August 31, 2012. Compensation expense was recognized on a ratable basis over the vesting period. | |||||||||||||||||||||||
In October 2012, the Board of Directors of the Company approved the fiscal year 2013 LTIP for the executive officers and other members of management. The 2013 LTIP is an equity based plan with a grant date of October 22, 2012. In addition to the stock option component described below, the plan contained the following restricted stock components: (a) a performance and service based restricted stock grant of 11,861 shares in the aggregate, subject to adjustment, with a vesting date of August 31, 2014, for which compensation expense is recognized on a ratable basis over the vesting period based on quarterly probability assessments; and (b) a time-based restricted stock grant of 16,505 and 1,931 shares in the aggregate, with a vesting date of August 31, 2015 and August 31, 2013, respectively, for which compensation expense is recognized on a ratable basis over the vesting period. | |||||||||||||||||||||||
Non-Employee Board of Directors | |||||||||||||||||||||||
In January 2010, non-employee members of the Board received a total grant of 11,092 shares of restricted stock for service for the period from January 30, 2010 through January 30, 2011. The shares of restricted stock vested at the conclusion of this service period. Compensation was recognized on a ratable basis over the twelve month vesting period. | |||||||||||||||||||||||
In February 2011, non-employee members of the Board received a total grant of 11,031 shares of restricted stock for service for the period from January 31, 2011 through January 31, 2012. The shares of restricted stock vested at the conclusion of this service period. Compensation was recognized on a ratable basis over the twelve month vesting period. | |||||||||||||||||||||||
In February 2012, non-employee members of the Board received a total grant of 10,085 shares of restricted stock for service for the period from January 31, 2012 through January 31, 2013. The shares of restricted stock vested at the conclusion of the service period. Compensation was recognized on a ratable basis over the twelve month vesting period. | |||||||||||||||||||||||
Beginning in 2013, the annual retainer for non-employee members of the Board of Directors includes a combined total of $144 of Chase Corporation common stock, in the form of restricted stock valued in conjunction with the start of the new year of board service which generally coincides with the Company's annual shareholder meeting. The stock award vests one year from the date of grant. In February 2013, non-employee members of the Board received a total grant of 7,706 shares of restricted stock for service for the period from January 31, 2013 through January 31, 2014. The shares of restricted stock will vest at the conclusion of this service period. Compensation is being recognized on a ratable basis over the twelve month vesting period. | |||||||||||||||||||||||
Stock Options | |||||||||||||||||||||||
In August 2009, the Company's Board of Directors authorized a grant of stock options to its Chief Executive Officer, its President and its Chief Financial Officer to purchase 75,000, 50,000 and 25,000 shares of common stock, respectively. Each of these options has an exercise price of $11.15 per share, and will vest in four equal annual allotments beginning on August 31, 2010 and ending on August 31, 2013. The options will expire on the tenth anniversary of the grant date. Compensation expense is being recognized over the period of the award on an annual basis consistent with the vesting terms. | |||||||||||||||||||||||
In August 2010, the Board of Directors of the Company approved the fiscal year 2011 Long Term Incentive Plan ("LTIP") for the executive officers. The fiscal 2011 LTIP is an equity based plan with a grant date of September 1, 2010 and included options to purchase 62,425 shares of common stock in the aggregate. Each of these options has an exercise price of $12.70 per share, and will vest in three equal annual allotments beginning on August 31, 2011 and ending on August 31, 2013. The options will expire on August 31, 2020. Compensation expense is being recognized over the period of the award on an annual basis consistent with the vesting terms. | |||||||||||||||||||||||
In April 2011, the Board of Directors of the Company authorized a grant of stock options to certain non-executive officer employees to purchase 15,201 shares of common stock in the aggregate with an exercise price of $16.53 per share. The options will vest in three equal annual allotments beginning on April 30, 2012 and ending on April 30, 2014. The options will expire on April 30, 2021. Compensation expense is being recognized over the period of the award on an annual basis consistent with the vesting terms. | |||||||||||||||||||||||
In August 2011, the Board of Directors of the Company approved the fiscal year 2012 LTIP for the executive officers. The fiscal 2012 LTIP is an equity based plan with a grant date of September 1, 2011 and included options to purchase 59,493 shares of common stock in the aggregate. Each of these options has an exercise price of $12.77 per share, and will vest in three equal annual allotments beginning on August 31, 2012 and ending on August 31, 2014. The options will expire on August 31, 2021. Compensation expense is being recognized over the period of the award on an annual basis consistent with the vesting terms. | |||||||||||||||||||||||
In August 2011, the Board of Directors of the Company authorized a grant of stock options with a grant date of September 1, 2011 to certain non-executive officer employees to purchase 20,883 shares of common stock in the aggregate with an exercise price of $12.77 per share. The options will vest in three equal annual allotments beginning on August 31, 2012 and ending on August 31, 2014. The options will expire on August 31, 2021. Compensation expense is being recognized over the period of the award on an annual basis consistent with the vesting terms. | |||||||||||||||||||||||
In March 2012, the Board of Directors of the Company authorized a grant of stock options to a non-executive officer employee to purchase 6,630 shares of common stock with an exercise price of $14.62 per share. The options will vest in three equal annual allotments beginning on March 8, 2013 and ending on March 8, 2015. The options will expire on March 8, 2022. Compensation expense is being recognized over the period of the award on an annual basis consistent with the vesting terms. | |||||||||||||||||||||||
In October 2012, the Board of Directors of the Company approved the fiscal year 2013 LTIP for the executive officers and other members of management. The 2013 LTIP is an equity based plan with a grant date of October 22, 2012 and included options to purchase 43,964 shares of common stock in the aggregate with an exercise price of $16.00 per share. The options will vest in three equal annual allotments beginning on August 31, 2013 and ending on August 31, 2015. The options will expire on October 22, 2022. Compensation expense is being recognized over the period of the award on an annual basis consistent with the vesting terms. | |||||||||||||||||||||||
The following table summarizes information about stock options outstanding as of August 31, 2013: | |||||||||||||||||||||||
Options Outstanding | Options Exercisable | ||||||||||||||||||||||
Exercise Prices | Number | Weighted Avg. | Weighted | Aggregate | Number | Weighted | Aggregate | ||||||||||||||||
Outstanding | Remaining | Average | Intrinsic | Exercisable | Average | Intrinsic Value | |||||||||||||||||
Contractual | Exercise Price | Value | Exercise Price | ||||||||||||||||||||
Life | |||||||||||||||||||||||
$11.15 | 106,250 | 6.0 years | $ | 11.15 | $ | 1,973 | 106,250 | $ | 11.15 | $ | 1,973 | ||||||||||||
$12.70 | 62,425 | 7.0 years | 12.7 | 1,063 | 62,425 | 12.7 | 1,063 | ||||||||||||||||
$12.77 | 76,792 | 8.0 years | 12.77 | 1,302 | 49,999 | 12.77 | 848 | ||||||||||||||||
$14.62 | 6,630 | 8.5 years | 14.62 | 100 | 2,210 | 14.62 | 33 | ||||||||||||||||
$16.00 | 43,964 | 9.1 years | 16 | 603 | 14,653 | 16 | 201 | ||||||||||||||||
$16.53 | 256,743 | 4.9 years | 16.53 | 3,386 | 253,926 | 16.53 | 3,349 | ||||||||||||||||
552,804 | 6.2 years | $ | 14.48 | $ | 8,427 | 489,463 | $ | 14.47 | $ | 7,467 | |||||||||||||
All stock option plans have been approved by the Company's stockholders. Options are granted with an exercise price that is equal to the closing market value of the Company's common stock on the day preceding the grant date. | |||||||||||||||||||||||
A summary of the transactions of the Company's stock option plans for the years ended August 31, 2013, 2012 and 2011 is presented below: | |||||||||||||||||||||||
Non Employee | Weighted | Officers | Weighted | ||||||||||||||||||||
Directors | Average | and | Average | ||||||||||||||||||||
Exercise Price | Employees | Exercise Price | |||||||||||||||||||||
Options outstanding as of August 31, 2010 | 2,500 | $ | 5.25 | 471,000 | $ | 13.12 | |||||||||||||||||
Granted | — | — | 77,626 | 13.45 | |||||||||||||||||||
Exercised | (2,500 | ) | 5.25 | (71,000 | ) | 5.25 | |||||||||||||||||
Forfeited or cancelled | — | — | — | — | |||||||||||||||||||
Options outstanding as of August 31, 2011 | — | $ | — | 477,626 | $ | 14.34 | |||||||||||||||||
Granted | — | — | 87,006 | 12.91 | |||||||||||||||||||
Exercised | — | — | — | — | |||||||||||||||||||
Forfeited or cancelled | — | — | (6,750 | ) | 16.53 | ||||||||||||||||||
Options outstanding at August 31, 2012 | — | $ | — | 557,882 | $ | 14.23 | |||||||||||||||||
Granted | — | — | 43,964 | 16 | |||||||||||||||||||
Exercised | — | — | (49,042 | ) | 11.46 | ||||||||||||||||||
Forfeited or cancelled | — | — | — | — | |||||||||||||||||||
Options outstanding at August 31, 2013 | — | $ | — | 552,804 | $ | 14.48 | |||||||||||||||||
Options exercisable at August 31, 2013 | — | $ | — | 489,463 | $ | 14.47 | |||||||||||||||||
The weighted average grant date fair value of options granted in the years ended August 31, 2013, 2012 and 2011 was $4.23, $3.12 and $3.59 per share, respectively. | |||||||||||||||||||||||
The total pretax intrinsic value of stock options exercised was $678 and $844 for the years ended August 31, 2013 and 2011, respectively. | |||||||||||||||||||||||
Excluding the common stock currently reserved for issuance upon exercise of the 552,804 outstanding options, there are 1,277,174 shares of common stock available for future issuance under the Company's equity compensation plans. | |||||||||||||||||||||||
The income tax benefit / (expense) realized from stock options exercised, vesting of restricted stock and issuance of stock pursuant to grants of restricted stock units was $622, $209 and ($37) for the years ended August 31, 2013, 2012 and 2011, respectively. | |||||||||||||||||||||||
As of August 31, 2013, unrecognized expense related to all stock based compensation described above is $941, which will be recognized over the next two fiscal years. | |||||||||||||||||||||||
Segment_Data
Segment Data | 12 Months Ended | ||||||||||
Aug. 31, 2013 | |||||||||||
Segment Data | ' | ||||||||||
Segment Data | ' | ||||||||||
Note 11—Segment Data | |||||||||||
The Company is organized into two operating segments, an Industrial Materials segment and a Construction Materials segment. The basis for this segmentation is distinguished by the nature of similar products and how they are delivered to their respective markets. The Industrial Materials segment reflects specified products that are used in or integrated into another company's product with demand dependent upon general economic conditions. Industrial Materials products include insulating and conducting materials for wire and cable manufacturers, moisture protective coatings for electronics and printing services, laminated durable papers, and flexible composites and laminates for the packaging and industrial laminate markets. Effective with its acquisition in June 2012, the full listing of NEPTCO products is included in the Industrial Materials segment. The Construction Materials segment reflects our construction project oriented product offerings which are primarily sold and used as "Chase" branded products in final form. Construction Materials products include protective coatings for pipeline applications, coating and lining systems for use in liquid storage and containment applications, high performance polymeric asphalt additives, and expansion and control joint systems for use in the transportation and architectural markets. | |||||||||||
The following tables summarize information about the Company's segments: | |||||||||||
Years Ended August 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Revenues | |||||||||||
Industrial Materials | $ | 163,474 | $ | 95,988 | $ | 75,744 | |||||
Construction Materials | 52,588 | 52,931 | 47,296 | ||||||||
Total | $ | 216,062 | $ | 148,919 | $ | 123,040 | |||||
Income before taxes | |||||||||||
Industrial Materials | $ | 26,400 | $ | 17,643 | $ | 16,850 | |||||
Construction Materials | 6,463 | 4,913 | 4,452 | ||||||||
Total for reportable segments | 32,863 | 22,556 | 21,302 | ||||||||
Corporate and common costs | (7,053 | ) | (8,560 | ) | (5,129 | ) | |||||
Total | $ | 25,810 | $ | 13,996 | $ | 16,173 | |||||
As of August 31, | |||||||||||
2013 | 2012 | ||||||||||
Total assets | |||||||||||
Industrial Materials | $ | 133,110 | $ | 135,322 | |||||||
Construction Materials | 48,573 | 53,509 | |||||||||
Total for reportable segments | 181,683 | 188,831 | |||||||||
Corporate and common assets | 42,677 | 26,001 | |||||||||
Total | $ | 224,360 | $ | 214,832 | |||||||
Export_Sales_and_Foreign_Opera
Export Sales and Foreign Operations | 12 Months Ended |
Aug. 31, 2013 | |
Export Sales and Foreign Operations | ' |
Export Sales and Foreign Operations | ' |
Note 12—Export Sales and Foreign Operations | |
Export sales from continuing domestic operations to unaffiliated third parties were $22,827, $21,204 and $19,715 for the years ended August 31, 2013, 2012 and 2011, respectively. The growth in our export sales in fiscal 2013 was due to a full fiscal year of NEPTCO export sales (acquired in June 2012). | |
The Company's products are sold world-wide. For the years ended August 31, 2013, 2012 and 2011, sales from its operations located in the United Kingdom accounted for 7%, 12% and 12%, respectively of the Company's total revenues. No other foreign geographic area accounted for more than 10% of total revenues for any of the years ended August 31, 2013, 2012 and 2011. | |
As of August 31, 2013 and 2012, the Company had long-lived assets (defined as tangible assets providing the Company with a future economic benefit beyond the current year or operating period, including buildings, equipment and leasehold improvements) of $4,063 and $4,488, respectively, located in the United Kingdom. These balances exclude goodwill and intangibles of $10,333 and $11,652, as of August 31, 2013 and 2012, respectively. No foreign geographic area accounted for more than 10% of the Company's total assets as of August 31, 2013 and 2012. | |
Supplemental_Cash_Flow_Data
Supplemental Cash Flow Data | 12 Months Ended | ||||||||||
Aug. 31, 2013 | |||||||||||
Supplemental Cash Flow Data | ' | ||||||||||
Supplemental Cash Flow Data | ' | ||||||||||
Note 13—Supplemental Cash Flow Data | |||||||||||
Supplemental cash flow information for the years ended August 31, 2013, 2012 and 2011 is as follows: | |||||||||||
2013 | 2012 | 2011 | |||||||||
Income taxes paid | $ | 9,913 | $ | 5,561 | $ | 7,465 | |||||
Interest paid | $ | 1,545 | $ | 352 | $ | 276 | |||||
Non-cash Investing and Financing Activities | |||||||||||
Common stock received for payment of stock option exercises | $ | 488 | $ | — | $ | 386 | |||||
Property, plant & equipment additions included in accounts payable | $ | 112 | $ | 117 | $ | 329 | |||||
Acquisition of Neptco Inc | |||||||||||
Current assets (excluding cash) | $ | 24,948 | |||||||||
Property and equipment | 18,657 | ||||||||||
Goodwill | 19,668 | ||||||||||
Intangible assets | 23,165 | ||||||||||
Accounts payable and accrued liabilities | (10,841 | ) | |||||||||
Long term liabilities | (736 | ) | |||||||||
Deferred tax liabilities | (11,051 | ) | |||||||||
Minority interest of joint venture partner | (1,593 | ) | |||||||||
Cash provided through operating cash and increase in debt | $ | (62,217 | ) | ||||||||
Acquisitions
Acquisitions | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Acquisitions | ' | |||||||
Acquisitions | ' | |||||||
Note 14—Acquisitions | ||||||||
NEPTCO Incorporated | ||||||||
In the fourth quarter of fiscal 2012, Chase acquired 100% of the capital stock of NEPTCO, a private company based in Pawtucket, RI, whose core products are sold primarily into the broadband communications and electronics packaging industries. NEPTCO operates three manufacturing facilities in the United States and one in China, as well as utilizing distribution facilities in Rotterdam, Netherlands and Mississauga, Ontario to assist in supply chain management. As part of this transaction, the Company also acquired NEPTCO's 50% ownership stake in a joint venture. | ||||||||
The total acquisition cost, net of cash received, was $62,217, subject to the finalization of purchase accounting, which was completed in the fourth quarter of fiscal 2013 and did not have a significant impact on the financial statements of the Company. The acquisition was funded through a five year term debt bank financing arrangement led and arranged by Bank of America, with participation from RBS Citizens. | ||||||||
The effective date for this acquisition was June 27, 2012 and the results of this acquisition have been included in the Company's financial statements since then. The acquisition was accounted for as a business combination under ASC Topic 805, "Business Combinations." In accordance with this accounting standard, the Company expensed $3,206 of acquisition related costs during the year ended August 31, 2012. | ||||||||
The acquisition cost has been allocated to the acquired tangible and identifiable intangible assets and liabilities assumed based on their fair values as of the date of the acquisition: | ||||||||
Assets & Liabilities | Amount | |||||||
Current assets (net of cash acquired) | $ | 24,948 | ||||||
Property, plant & equipment | 18,657 | |||||||
Goodwill | 19,668 | |||||||
Intangible assets | 23,165 | |||||||
Accounts payable and accrued liabilities | (10,841 | ) | ||||||
Long term liabilities | (736 | ) | ||||||
Deferred tax liabilities | (11,051 | ) | ||||||
Minority interest of joint venture partner | (1,593 | ) | ||||||
Total purchase price | $ | 62,217 | ||||||
The excess of the purchase price over the net tangible and intangible assets acquired resulted in goodwill of $19,668 that is largely attributable to the synergies and economies of scale from combining the operations and technologies of Chase and NEPTCO, particularly as it pertains to the expansion of the Company's product and service offerings, the established workforce, and marketing efforts. This goodwill is not deductible for income tax purposes. | ||||||||
All assets, including goodwill, acquired as part of NEPTCO are included in the Industrial Materials segment. Identifiable intangible assets purchased with this transaction are as follows: | ||||||||
Intangible Asset | Amount | Useful life | ||||||
Customer Relationships | $ | 15,330 | 10 years | |||||
Trade names | 4,988 | 6 years | ||||||
Technology | 2,267 | 8 years | ||||||
Backlog | 20 | 4 months | ||||||
Prepaid patent costs | 560 | 10 years (1) | ||||||
Total intangible assets | $ | 23,165 | ||||||
-1 | ||||||||
To be amortized once placed in service | ||||||||
Supplemental Pro Forma Data (unaudited) | ||||||||
The following table presents the pro forma results of the Company for the three and twelve month periods ended August 31, 2012, as though the NEPTCO acquisition described above occurred on September 1, 2010. The actual revenues and expenses for the NEPTCO acquisition are included in the Company's fiscal 2012 consolidated results beginning on June 27, 2012. Revenues and net loss attributable to Chase Corporation for NEPTCO since the acquisition date included in the consolidated statement of operations for fiscal year 2012 were $14,826 and $204, respectively. Adjustments have been made for the estimated amortization of intangibles, estimated interest expense in connection with debt financing of the acquisition, acquisition related costs and the income tax impact of the pro forma adjustments at the statutory rate of 38%. The following pro forma information is not necessarily indicative of the results that would have been achieved if the acquisition had been effective on September 1, 2010. | ||||||||
Three Months | Year Ended | |||||||
Ended | August 31, 2012 | |||||||
August 31, 2012 | ||||||||
Revenues | $ | 58,900 | $ | 226,254 | ||||
Net income attributable to the Company | 3,590 | 11,779 | ||||||
Net income attributable to the Company available to common shareholders, per common and common equivalent share | ||||||||
Basic | $ | 0.4 | $ | 1.3 | ||||
Diluted | $ | 0.4 | $ | 1.3 | ||||
All acquisitions have been accounted for as purchase transactions and the operations of the acquired entity or assets are included in consolidated operations from the effective date. | ||||||||
Joint_Venture
Joint Venture | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Joint Venture | ' | |||||||
Joint Venture | ' | |||||||
Note 15—Joint Venture | ||||||||
As part of the Company's purchase of NEPTCO, it also acquired NEPTCO's 50% ownership stake in its financially- controlled joint venture, NEPTCO JV LLC ("JV"). The JV was originally formed by NEPTCO and a joint venture partner, an otherwise unrelated party (collectively, the "Members") in 2003, whereby each member's fiber optic strength elements businesses were combined. This venture, which is 50% owned by each member, is managed and operated on a day-to-day basis by NEPTCO. The joint venture operates in the Company's Granite Falls, NC facility. | ||||||||
The Company accounts for the joint venture partner's non-controlling interest in the JV under ASC topic 810 "Consolidations." Given the Company's controlling financial interest, the JV's assets and liabilities as of August 31, 2013, and the results of operations beginning June 27, 2012, have been consolidated within the Company's consolidated balance sheet and the related consolidated statements of operations. An offsetting amount equal to 50% of net assets and net loss of the JV has also been recorded within the Company's consolidated financial statements to non-controlling interest, representing the joint venture partner's 50% ownership stake and pro rata share in net loss of the JV. | ||||||||
At August 31, 3013 and 2012, the following amounts were consolidated in the Company's balance sheets related to the JV: | ||||||||
August 31, | ||||||||
Assets | 2013 | 2012 | ||||||
Cash | $ | 394 | $ | 1,008 | ||||
Accounts receivable, net | 1,106 | 1,540 | ||||||
Inventories, net | 1,510 | 2,394 | ||||||
Prepaid expenses and other assets | 283 | 219 | ||||||
Property, plant and equipment, net | 448 | 630 | ||||||
Intangible assets, net | 706 | 655 | ||||||
Total assets | $ | 4,447 | $ | 6,446 | ||||
Liabilities and net assets | ||||||||
Accounts payable and accrued expenses | $ | 679 | $ | 1,650 | ||||
Due to Members | 1,677 | 1,757 | ||||||
Total liabilities | $ | 2,356 | $ | 3,407 | ||||
Net assets | $ | 2,091 | $ | 3,039 | ||||
Non-controlling interest | $ | 1,046 | $ | 1,520 | ||||
The fair value of the JV as of the acquisition date was $3,186, and this amount was allocated between the identifiable assets and liabilities of the JV, with an offsetting $1,593 amount recorded to non-controlling interest, representing the joint venture partner's 50% ownership stake. The JV was valued as part of the Company's accounting of NEPTCO, which was accounted for as a business combination under ASC Topic 805, "Business Combinations." See Note 14 for additional information on the acquisition of NEPTCO. | ||||||||
Effective on the date of the JV's inception, and for four years following the date on which the Members no longer own any membership interest in the JV, non-compete agreements exist. Each member retains the right to tender an offer to buy the other member's share. Once an offer is tendered, the tendered member has the option to either sell, or match the initial offer to purchase the other member's share. | ||||||||
Under the JV agreement, the JV is barred from issuing third party debt, other than customary accounts payable, resulting from its normal trade operations. The liabilities of the JV are not guaranteed by any portion of NEPTCO or the Company. | ||||||||
The JV agrees to purchase a minimum of 80% of its total glass fiber requirements from the other joint venture partner. Additionally, the JV agrees to purchase private-label products exclusively from an affiliate of the other joint venture partner; however, the JV is not subject to a minimum purchase requirement on private-label products. Purchases from the joint venture partner totaled $1,818 and $411 for the years ended August 31, 2013 and 2012, respectively. The JV had amounts due to the other joint venture partner of $378 and $618 at August 31, 2013 and 2012, respectively. | ||||||||
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | ||||||||||||||||
Aug. 31, 2013 | |||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||
Note 16—Fair Value Measurements | |||||||||||||||||
The Company generally defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). The Company uses a three-tier fair value hierarchy, which classifies the inputs used in measuring fair values. These tiers include: Level 1, defined as observable inputs such as quoted prices for identical instruments in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions. | |||||||||||||||||
The Company endeavors to utilize the best available information in measuring fair value. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company has determined that it does not have any financial liabilities measured at fair value other than long-term debt and that its financial assets are currently all classified within Level 1 in the fair value hierarchy. The financial assets classified as Level 1 as of August 31, 2013 and 2012 represent investments which are restricted for use in a nonqualified retirement savings plan for certain key employees and directors. | |||||||||||||||||
The following table sets forth the Company's financial assets that were accounted for at fair value on a recurring basis as of August 31, 2013 and 2012: | |||||||||||||||||
Fair value measurement category | |||||||||||||||||
Fair value | Total | Quoted prices | Significant | Significant | |||||||||||||
measurement | in active | other observable | unobservable | ||||||||||||||
date | markets | inputs | inputs | ||||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Assets: | |||||||||||||||||
Restricted investments | August 31, 2013 | $ | 1,094 | $ | 1,094 | $ | — | $ | — | ||||||||
Restricted investments | August 31, 2012 | $ | 874 | $ | 874 | $ | — | $ | — | ||||||||
The following table presents the fair values of the Company's long-term debt as of August 31, 2013 and 2012 which is recorded at its carrying amount: | |||||||||||||||||
Fair value measurement category | |||||||||||||||||
Fair value | Total | Quoted prices | Significant | Significant | |||||||||||||
measurement | in active | other observable | unobservable | ||||||||||||||
date | markets | inputs | inputs | ||||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Liabilities: | |||||||||||||||||
Long-term debt | August 31, 2013 | $ | 64,400 | $ | — | $ | 64,400 | $ | — | ||||||||
Long-term debt | August 31, 2012 | $ | 70,000 | $ | — | $ | 70,000 | $ | — | ||||||||
The carrying value of the long-term debt approximates its fair value, as the interest rate is set based on the movement of the underlying market rates. | |||||||||||||||||
Net_Income_Per_Share
Net Income Per Share | 12 Months Ended | ||||||||||
Aug. 31, 2013 | |||||||||||
Net Income Per Share | ' | ||||||||||
Net Income Per Share | ' | ||||||||||
Note 17—Net Income Per Share | |||||||||||
The determination of earnings per share under the two-class method is as follows: | |||||||||||
Years Ended August 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Net income attributable to Chase Corporation | $ | 17,214 | $ | 9,338 | $ | 10,931 | |||||
Less: Allocated to participating securities | 396 | 295 | 279 | ||||||||
Available to common shareholders | $ | 16,818 | $ | 9,043 | $ | 10,652 | |||||
Basic weighted averages shares outstanding | 8,860,972 | 8,761,262 | 8,721,452 | ||||||||
Additional dilutive common stock equivalents | 117,466 | 25,488 | 42,356 | ||||||||
Diluted weighted averages shares outstanding | 8,978,438 | 8,786,750 | 8,763,808 | ||||||||
Net income available to common shareholders, per common and common equivalent share | |||||||||||
Basic | $ | 1.9 | $ | 1.03 | $ | 1.22 | |||||
Diluted | $ | 1.87 | $ | 1.03 | $ | 1.22 | |||||
For the years ended August 31, 2012 and 2011, stock options to purchase 265,081 and 265,201 shares of common stock were outstanding, respectively, but were not included in the calculation of diluted net income per share because the options' exercise prices were greater than the average market price of the common stock and thus would be anti-dilutive. No stock options were excluded from the calculation for the year ended August 31, 2013. Included in the calculation of dilutive common stock equivalents are the unvested portion of restricted stock, restricted stock units and stock options. | |||||||||||
Assets_Held_for_Sale
Assets Held for Sale | 12 Months Ended | ||||
Aug. 31, 2013 | |||||
Assets Held for Sale | ' | ||||
Assets Held for Sale | ' | ||||
Note 18—Assets Held for Sale | |||||
The Company periodically reviews long-lived assets against its plans to retain or ultimately dispose of these assets. If the Company decides to dispose of an asset and commits to a plan to actively market and sell the asset, it will be moved to assets held for sale. The Company analyzes market conditions each reporting period and records additional impairments due to declines in market values of like assets. The fair value of the asset is determined by observable inputs such as appraisals and prices of comparable assets in active markets for assets like the Company's. Gains are not recognized until the assets are sold. | |||||
In October 2013, the Company sold substantially all of its property and assets, including intellectual property, comprising the Insulfab® product line, to an unrelated third party for $7,394, subject to certain closing adjustments including the change in the final closing net book value compared to the bid date net book value. As a result of the efforts to market and sell this product line in its fourth quarter, the Company has classified the Insulfab assets (including inventory and equipment) as assets held for sale as of August 31, 2013. The Insulfab product line is primarily focused on manufacturing high quality, engineered barrier laminates used in various aerospace applications. This transaction resulted in a pre-tax book gain of approximately $5.7 million which will be recorded in the fiscal quarter ending November 30, 2013. These assets had been previously reported by the Company within its Industrial Materials segment. | |||||
The following table summarizes information about the Insulfab product line as of August 31, 2013: | |||||
August 31, 2013 | |||||
Inventory | $ | 885 | |||
Property & equipment | 1,060 | ||||
Accrued expenses | (40 | ) | |||
$ | 1,905 | ||||
Contingencies
Contingencies | 12 Months Ended |
Aug. 31, 2013 | |
Contingencies | ' |
Contingencies | ' |
Note 19—Contingencies | |
The Company is involved from time to time in litigation incidental to the conduct of its business. Although the Company does not expect that the outcome in any of these matters, individually or collectively, will have a material adverse effect on its financial condition, results of operations or cashflows, litigation is inherently unpredictable. Therefore, judgments could be rendered or settlements entered, that could adversely affect the Company's operating results or cash flows in a particular period. The Company routinely assesses all of its litigation and threatened litigation as to the probability of ultimately incurring a liability, and records its best estimate of the ultimate loss in situations where the Company assesses the likelihood of loss as probable. | |
Related_Party_Agreements
Related Party Agreements | 12 Months Ended |
Aug. 31, 2013 | |
Related Party Agreements | ' |
Related Party Agreements | ' |
Note 20—Related Party Agreements | |
As part of the Company's purchase of NEPTCO, it also acquired NEPTCO's 50% ownership stake in its financially-controlled joint venture, NEPTCO JV LLC ("JV"). The JV was originally formed by NEPTCO and a joint venture partner, Owens Corning, in 2003, whereby each member's fiber optic strength elements businesses were combined. This venture, which is 50% owned by each member, is managed and operated on a day-to-day basis by NEPTCO. The JV agrees to purchase a minimum of 80% of its total glass fiber requirements from Owens Corning. Additionally, the JV agrees to purchase private-label products exclusively from an affiliate of the joint venture partner; however, the JV is not subject to a minimum purchase requirement on private-label products. Purchases from the joint venture partner totaled $1,818 and $411 for the years ended August 31, 2013 and 2012, respectively. The JV had amounts due to the other joint venture partner of $378 and $618 at August 31, 2013 and 2012, respectively. Please see Note 15 to the Company's Consolidated Financial Statements for additional information on the JV. | |
A voting agreement that previously existed between Chase and the Edward L. Chase Revocable Trust (the "Trust") expired in 2013. Edward L. Chase (deceased) was the father of Peter R. Chase (the Chairman and CEO of the Company) and the grandfather of Adam P. Chase (the President and COO of the Company). Pursuant to the voting agreement, the Trustees had agreed to vote for the nominees for director of the Company, as approved from time to time by the Company's Nominating and Governance Committee, through the annual meeting in January 2013. The voting agreement required that a designated representative of the Trust be elected a director of the Company. The voting agreement which had an original book value of $200, was capitalized as an intangible asset and was amortized over its ten year useful life. As of August 31, 2013, this intangible asset has a net book value of $0 as it had been fully amortized. | |
Selected_Quarterly_Financial_D
Selected Quarterly Financial Data (Unaudited) | 12 Months Ended | ||||||||||||||||
Aug. 31, 2013 | |||||||||||||||||
Selected Quarterly Financial Data (Unaudited) | ' | ||||||||||||||||
Selected Quarterly Financial Data (Unaudited) | ' | ||||||||||||||||
Note 21—Selected Quarterly Financial Data (Unaudited) | |||||||||||||||||
The following table presents unaudited operating results for each of the Company's quarters in the years ended August 31, 2013 and 2012: | |||||||||||||||||
Fiscal Year 2013 Quarters | |||||||||||||||||
First | Second | Third | Fourth | Year | |||||||||||||
Net Sales | $ | 52,976 | $ | 47,714 | $ | 55,096 | $ | 57,862 | $ | 213,648 | |||||||
Gross Profit on Sales | 15,705 | 14,247 | 18,264 | 19,398 | 67,614 | ||||||||||||
Net income attributable to Chase Corporation | $ | 3,540 | $ | 2,644 | $ | 5,134 | $ | 5,896 | $ | 17,214 | |||||||
Net income available to common shareholders, per common and common equivalent share: | |||||||||||||||||
Basic | $ | 0.39 | $ | 0.29 | $ | 0.57 | $ | 0.65 | $ | 1.9 | |||||||
Diluted | $ | 0.39 | $ | 0.29 | $ | 0.56 | $ | 0.64 | $ | 1.87 | |||||||
Fiscal Year 2012 Quarters | |||||||||||||||||
First | Second | Third | Fourth | Year | |||||||||||||
Net Sales | $ | 31,654 | $ | 28,836 | $ | 34,378 | $ | 51,626 | $ | 146,494 | |||||||
Gross Profit on Sales | 9,655 | 7,814 | 12,168 | 15,608 | 45,245 | ||||||||||||
Net income attributable to Chase Corporation | $ | 2,327 | $ | 1,197 | $ | 3,373 | $ | 2,441 | $ | 9,338 | |||||||
Net income available to common shareholders, per common and common equivalent share: | |||||||||||||||||
Basic | $ | 0.26 | $ | 0.13 | $ | 0.37 | $ | 0.27 | $ | 1.03 | |||||||
Diluted | $ | 0.26 | $ | 0.13 | $ | 0.37 | $ | 0.27 | $ | 1.03 | |||||||
Note: Quarterly earnings per share amounts may not sum to earnings per share for the year due to rounding. | |||||||||||||||||
Valuation_and_Qualifying_Accou
Valuation and Qualifying Accounts | 12 Months Ended | |||||||||||||
Aug. 31, 2013 | ||||||||||||||
Valuation and Qualifying Accounts | ' | |||||||||||||
Valuation and Qualifying Accounts | ' | |||||||||||||
Note 22—Valuation and Qualifying Accounts | ||||||||||||||
The following table sets forth activity in the Company's accounts receivable reserve: | ||||||||||||||
Year ended | Balance at | Charges to | Deductions to | Balance at | ||||||||||
Beginning of Year | Operations | Reserves | End of Year | |||||||||||
August 31, 2013 | $ | 817 | $ | 135 | $ | (256 | ) | $ | 696 | |||||
August 31, 2012 | $ | 473 | $ | 459 | $ | (115 | ) | $ | 817 | |||||
August 31, 2011 | $ | 347 | $ | 327 | $ | (201 | ) | $ | 473 | |||||
The charges to operations for the fiscal year ended August 31, 2012 includes $94 recorded as part of the NEPTCO purchase accounting. | ||||||||||||||
The following table sets forth activity in the Company's warranty reserve: | ||||||||||||||
Year ended | Balance at | Charges to | Deductions to | Balance at | ||||||||||
Beginning of | Operations | Reserves | End of Year | |||||||||||
Year | ||||||||||||||
August 31, 2013 | $ | 249 | — | $ | (1 | ) | $ | 248 | ||||||
August 31, 2012 | $ | 362 | $ | 157 | $ | (270 | ) | $ | 249 | |||||
August 31, 2011 | $ | 279 | $ | 288 | $ | (205 | ) | $ | 362 |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | |||||||||||||||||||
Aug. 31, 2013 | ||||||||||||||||||||
Summary of Significant Accounting Policies | ' | |||||||||||||||||||
Products and Markets | ' | |||||||||||||||||||
Products and Markets | ||||||||||||||||||||
The Company's principal products are specialty tapes, laminates, sealants and coatings that are sold by Company salespeople, manufacturers' representatives and distributors. In the Company's Industrial Materials segment, these products consist of: | ||||||||||||||||||||
(i) | ||||||||||||||||||||
insulating and conducting materials for the manufacture of electrical and telephone wire and cable, electrical splicing, and terminating and repair tapes, which are marketed to wire and cable manufacturers; | ||||||||||||||||||||
(ii) | ||||||||||||||||||||
laminated film foils, composite strength elements, anti-static packaging tape and pulling tapes for the electronics and cable industries; | ||||||||||||||||||||
(iii) | ||||||||||||||||||||
moisture protective coatings, which are sold to the electronics industry including circuitry used in automobiles and home appliances; | ||||||||||||||||||||
(iv) | ||||||||||||||||||||
laminated durable papers, including laminated paper with an inner security barrier used in personal and mail-stream privacy protection, which are sold primarily to the envelope converting and commercial printing industries; | ||||||||||||||||||||
(v) | ||||||||||||||||||||
pulling and detection tapes used in the installation, measurement and location of fiber optic cables, water and natural gas lines, and power, data and video cables for commercial buildings; | ||||||||||||||||||||
(vi) | ||||||||||||||||||||
cover tapes with reliable adhesive and anti-static properties essential to delivering semiconductor components via tape and reel packaging; and | ||||||||||||||||||||
(vii) | ||||||||||||||||||||
flexible, rigid and semi-rigid fiber optic strength elements designed to allow fiber optic cables to withstand mechanical and environmental strain and stress, produced by NEPTCO's joint venture. | ||||||||||||||||||||
In the Company's Construction Materials segment, these products consist of: | ||||||||||||||||||||
(i) | ||||||||||||||||||||
protective pipe coating tapes and other protectants for valves, regulators, casings, joints, metals, concrete and wood, which are sold to oil companies, gas utilities and pipeline companies; | ||||||||||||||||||||
(ii) | ||||||||||||||||||||
protectants for highway bridge deck metal supported surfaces, which are sold to municipal transportation authorities; | ||||||||||||||||||||
(iii) | ||||||||||||||||||||
fluid applied coating and lining systems for use in the water and wastewater industry; and | ||||||||||||||||||||
(iv) | ||||||||||||||||||||
expansion and control joint systems designed for roads, bridges, stadiums and airport runways. | ||||||||||||||||||||
Basis of Presentation | ' | |||||||||||||||||||
Basis of Presentation | ||||||||||||||||||||
The financial statements include the accounts of the Company and its wholly-owned subsidiaries. Investments in unconsolidated companies which are at least 20% owned are carried under the equity method since acquisition or investment. All intercompany transactions and balances have been eliminated in consolidation. The Company uses the U.S. dollar as the functional currency for financial reporting. | ||||||||||||||||||||
As part of the Company's purchase of NEPTCO in June 2012, it also acquired NEPTCO's 50% ownership stake in its financially- controlled joint venture, NEPTCO JV LLC ("JV"). Given the Company's controlling financial interest, the JV's assets and liabilities as of August 31, 2013 and 2012, and the results of operations beginning June 27, 2012, have been consolidated within the Company's consolidated balance sheet and the related consolidated statements of operations and cash flows. An offsetting amount equal to 50% of net assets and net loss of the JV has also been recorded within the Company's consolidated financial statements to non-controlling interest, representing the joint venture partner's 50% ownership stake and pro rata share in net results of the JV. | ||||||||||||||||||||
The Company has evaluated events and transactions subsequent to the balance sheet date. Based on this evaluation, and other than the October 2013 sale of the Company's Insulfab product line described in Note 18, and the cash dividend announced on October 23, 2013 of $0.45 per share to shareholders of record on November 5, 2013 payable on December 4, 2013, the Company is not aware of any other events or transactions that occurred subsequent to the balance sheet date, but prior to filing, that would require recognition or disclosure in its consolidated financial statements. | ||||||||||||||||||||
Revisions to Previously Issued Financial Statements | ' | |||||||||||||||||||
Revisions to Previously Issued Financial Statements | ||||||||||||||||||||
During the third quarter of fiscal 2013, an immaterial error was identified in the presentation of two line items within the operating activities section of the Company's previously reported statement of cash flows for the year ended August 31, 2012. The Company revised the statement of cash flows to correct the presentation of two line items within the operating activities section. This revision to the statement of cash flows results in pension curtailment and settlement loss changing from ($550) to $550 and accrued compensation and other expenses changing from $926 to ($174) for the year ended August 31, 2012. There was no impact on the comparing balance sheet as of August 31, 2012 or the related statement of operations, statement of other comprehensive income, total cash provided by operating activities or overall cash flows. | ||||||||||||||||||||
During the fourth quarter of fiscal 2013, the Company identified an immaterial error in the balance sheet classification of an item within the Company's previously reported unaudited financial statements for the first three quarters of fiscal 2013. In those fiscal quarters, the Company properly recorded pension settlement losses that resulted from lump sum distributions to pension plan participants in earnings but did not properly reclassify the amount out of Equity—Accumulated Other Comprehensive Income. As a result, the following unaudited balance sheet accounts were revised from their previously reported amounts: | ||||||||||||||||||||
Previously reported (unaudited) | As Revised (unaudited) | |||||||||||||||||||
For the fiscal quarters ended, | For the fiscal quarters ended, | |||||||||||||||||||
11/30/12 | 2/28/13 | 5/31/13 | 11/30/12 | 2/28/13 | 5/31/13 | |||||||||||||||
Liabilities and Equity | ||||||||||||||||||||
Accumulated pension obligation | 7,508 | 8,012 | 7,618 | 7,180 | 6,814 | 6,420 | ||||||||||||||
Accrued income taxes | 1,460 | 11 | 1,058 | 1,573 | 424 | 1,471 | ||||||||||||||
Accumulated other comprehensive loss | (4,567 | ) | (5,916 | ) | (5,818 | ) | (4,353 | ) | (5,131 | ) | (5,033 | ) | ||||||||
Accordingly, comprehensive income as previously reported in the unaudited financial statements, was understated by $214 and $571 for the fiscal quarters ended November 30, 2012 and February 28, 2013, respectively, and understated by $214, $785 and $785 for the fiscal year to date periods ended November 30, 2012, February 28, 2013 and May 31, 2013, respectively. Even though the correction of the error is not material to the financial statements for the fourth quarter of fiscal 2013, the Company revised the amounts previously reported in the unaudited interim-financial statements for the year ended August 31, 2013. There was no impact on the Company's unaudited statement of operations or statement of cash flows for any of the previously reported periods. | ||||||||||||||||||||
During the fourth quarter of fiscal 2013, as part of the review of the final purchase price allocation related to the NEPTCO acquisition, additional information became available to the Company outside the measurement period that identified the need to correct the amount previously used in the calculation of the tax basis of the NEPTCO Joint Venture. This immaterial correction resulted in a decrease in the non-current deferred tax liabilities of $1,655, a decrease in the current deferred tax assets of $647, and a decrease to goodwill of $1,008 as of August 31, 2012. The Company has revised the prior period balance sheet to reflect the appropriate presentation of these line items. There was no impact on the working capital, statement of operations, statement of other comprehensive income, or cash flows. | ||||||||||||||||||||
Use of Estimates | ' | |||||||||||||||||||
Use of Estimates | ||||||||||||||||||||
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | ||||||||||||||||||||
Cash and Cash Equivalents | ' | |||||||||||||||||||
Cash and Cash Equivalents | ||||||||||||||||||||
Cash and cash equivalents consist primarily of demand deposits accounts or investment instruments that meet high credit quality standards such as money market funds, government securities, or commercial paper. The Company considers all highly liquid debt instruments purchased with a maturity of three months or less from date of purchase to be cash equivalents. | ||||||||||||||||||||
Accounts Receivable | ' | |||||||||||||||||||
Accounts Receivable | ||||||||||||||||||||
The Company evaluates the collectability of accounts receivable balances based on a combination of factors. In cases where the Company is aware of circumstances that may impair a specific customer's ability to meet its financial obligations to it, a specific allowance against amounts due to the Company is recorded, and thereby reduces the net recognized receivable to the amount the Company reasonably believes will be collected. For all other customers, the Company recognizes allowances for doubtful accounts based on the length of time the receivables are past due, industry and geographic concentrations, the current business environment and its historical experience. Receivables are written off against these reserves in the period they are determined to be uncollectible. | ||||||||||||||||||||
Inventories | ' | |||||||||||||||||||
Inventories | ||||||||||||||||||||
The Company values inventory at the lower of cost or market using the first-in, first-out (FIFO) method. Management assesses the recoverability of inventory based on types and levels of inventory held, forecasted demand and changes in technology. These assessments require management judgments and estimates, and valuation adjustments for excess and obsolete inventory may be recorded based on these assessments. The Company estimates excess and obsolescence exposures based upon assumptions about future demand, product transitions, and market conditions and records reserves to reduce inventories to their estimated net realizable value. The failure to accurately forecast demand may lead to additional excess and obsolete inventory and future charges. | ||||||||||||||||||||
Goodwill | ' | |||||||||||||||||||
Goodwill | ||||||||||||||||||||
The Company accounts for goodwill in accordance with ASC Topic 350, "Intangibles—Goodwill and Other." The Company identified several reporting units within each of its two operating segments. These are used to evaluate the possible impairment of goodwill annually each fourth quarter and whenever events or circumstances indicate the carrying value of goodwill may not be recoverable. When evaluating the potential impairment of goodwill, the Company will first assess a range of qualitative factors, including but not limited to, industry conditions, the competitive environment, changes in the market for our products and services, entity specific factors such as strategy and changes in key personnel, and the overall financial performance for each of our reporting units relative to expected historical or projected future operating results. If after completing this assessment, it is determined that it is more likely than not that the fair value of a reporting unit is less than its carrying value, the Company will then proceed to a two-step impairment testing methodology using the income approach (discounted cash flow method). | ||||||||||||||||||||
In the first step of this testing methodology, we compare the carrying value of the reporting unit, including goodwill, with its fair value, as determined by its estimated discounted cash flows. If the carrying value of a reporting unit exceeds its fair value, we then complete the second step of the impairment test to determine the amount of impairment to be recognized. In the second step, we estimate an implied fair value of the reporting unit's goodwill by allocating the fair value of the reporting unit to all of the assets and liabilities other than goodwill (including intangible assets). If the carrying value of a reporting unit's goodwill exceeds its implied fair value, we record an impairment loss equal to the difference in that period. The key assumptions incorporated in the discounted cash flow approach include projected operating income, changes in working capital, projected capital expenditures, estimated terminal sales value and a discount rate equal to the assumed long-term cost of capital. Cash flows may be adjusted to exclude certain non-recurring or unusual items. The cash flow estimates used to determine impairment, if any, contain management's best estimates, using appropriate and customary assumptions and projections at the time. | ||||||||||||||||||||
Intangible Assets | ' | |||||||||||||||||||
Intangible Assets | ||||||||||||||||||||
Intangible assets consist of patents, agreements, formulas, trade names, customer relationships and trademarks. The Company capitalizes costs related to patent applications and technology agreements. The costs of these assets are amortized using the straight-line method over the lesser of the useful life of the asset or its statutory life. Capitalized costs are periodically reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. | ||||||||||||||||||||
Property, Plant and Equipment | ' | |||||||||||||||||||
Property, Plant and Equipment | ||||||||||||||||||||
Property, plant and equipment are stated at cost and depreciated using the straight-line method over the assets' estimated useful lives. Expenditures for maintenance repairs and minor renewals are charged to expense as incurred. Betterments and major renewals are capitalized. Upon retirement or other disposition of assets, related allowances for depreciation and amortization are eliminated from the accounts and any resulting gain or loss is included in the determination of income or loss. The estimated useful lives of property, plant and equipment are as follows: | ||||||||||||||||||||
Buildings | 20 to 40 years | |||||||||||||||||||
Machinery and equipment | 3 to 10 years | |||||||||||||||||||
Leasehold improvements are depreciated over the lesser of the useful life or the term of the lease. | ||||||||||||||||||||
Restricted Investments and Deferred Compensation | ' | |||||||||||||||||||
Restricted Investments and Deferred Compensation | ||||||||||||||||||||
The Company has a non-qualified deferred savings plan that covers its Board of Directors and selected employees. Participants may elect to defer a portion of their compensation for payment in a future tax year. The plan is funded by trusteed assets that are restricted to the payment of deferred compensation or satisfaction of the Company's general creditors. The Company's restricted investments and corresponding deferred compensation liability under the plan were $1,094 and $874 at August 31, 2013 and 2012, respectively. The Company accounts for the restricted investments as available for sale by recording unrealized gains or losses in other comprehensive income as a component of stockholders' equity. | ||||||||||||||||||||
Split-Dollar Life Insurance Arrangements | ' | |||||||||||||||||||
Split-Dollar Life Insurance Arrangements | ||||||||||||||||||||
The net liability related to these postretirement benefits was calculated as the difference between the present value of future premiums to be paid by the Company reduced by the present value of the expected proceeds to be returned to the Company upon the insured's death. The Company prepared its calculation by using mortality assumptions which are based on the IRS 2013 Combined Static Mortality Table, and a 1.52% discount rate. The Company's net liability related to these postretirement obligations was $56 and $48 at August 31, 2013 and 2012, respectively. | ||||||||||||||||||||
Revenues | ' | |||||||||||||||||||
Revenues | ||||||||||||||||||||
The Company recognizes revenue when persuasive evidence of an arrangement exists, performance of its obligation is complete, its price to the buyer is fixed or determinable, and the Company is reasonably assured of collecting. This is typically at the time of shipment or upon receipt by the customer based on contractual terms. If a loss is anticipated on any contract, a provision for the entire loss is made immediately. Revenue recognition involves judgments and assessments of expected returns, and the likelihood of nonpayment by customers. The Company analyzes various factors, including a review of specific customer contracts and shipment terms, historical experience, creditworthiness of customers and current market and economic conditions in determining when to recognize revenue. Changes in judgments on these factors could impact the timing and amount of revenue recognized with a resulting impact on the timing and amount of operating income. Commissions are recognized when earned and payments are received from the manufacturers represented. Royalty revenue is recognized based on licensee production statements received from the authorized manufacturers. Billed shipping and handling fees are recorded as sales revenue with the associated costs recorded as costs of products and services sold. | ||||||||||||||||||||
The Company's warranty policy provides that the products (or materials) delivered will meet its standard specifications for the products or any other specifications as may be expressly agreed to at time of purchase. All warranty claims must be received within 90 days from the date of delivery, unless some other period has been expressly agreed to within the terms of the sales agreement. The Company's warranty costs have historically been insignificant. The Company records a current liability for estimated warranty claims with a corresponding debit to cost of products and services sold based upon current and historical experience and upon specific claims issues as they arise. | ||||||||||||||||||||
In addition, the Company offers certain sales incentives based on sales levels as they are earned. | ||||||||||||||||||||
Research and Product Development Costs | ' | |||||||||||||||||||
Research and Product Development Costs | ||||||||||||||||||||
Research and product development costs are expensed as incurred and include primarily engineering salaries, overhead and materials used in connection with research and development projects. Research and development expense amounted to $3,395, $2,958 and $2,452 for the years ended August 31, 2013, 2012 and 2011, respectively. | ||||||||||||||||||||
Pension Plan | ' | |||||||||||||||||||
Pension Plan | ||||||||||||||||||||
The Company accounts for its pension plans following the requirements of ASC Topic 715, "Compensation—Retirement Benefits" ("ASC 715"). ASC 715 requires an employer to: (a) recognize in its statement of financial position the funded status of a benefit plan; (b) measure defined benefit plan assets and obligations as of the end of the employer's fiscal year (with limited exceptions); and (c) recognize as a component of other comprehensive income, net of tax, the gains or losses and prior service costs or credits that arise but are not recognized as components of net periodic benefit costs pursuant to prior existing guidance. | ||||||||||||||||||||
Stock Based Compensation | ' | |||||||||||||||||||
Stock Based Compensation | ||||||||||||||||||||
In accordance with the accounting for stock based compensation guidance, the Company measures and recognizes compensation expense for all share-based payment awards made to employees and directors based on estimated fair values. This includes restricted stock, restricted stock units and stock options. The guidance allows for the continued use of the simplified method as the Company has concluded that its historical share option exercise experience does not provide a reasonable basis for estimating expected term. The Company uses the short cut method to calculate the historical windfall tax pool. | ||||||||||||||||||||
Stock-based compensation expense recognized in fiscal years 2013, 2012 and 2011 was $1,621, $2,040 and $1,682, respectively. | ||||||||||||||||||||
The fair value of options granted was estimated on the date of grant using the Black-Scholes option pricing model with the following weighted average assumptions for the years ending August 31, 2013, 2012 and 2011: | ||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Expected Dividend yield | 2.20% | 2.30% | 2.00% | |||||||||||||||||
Expected life | 6.0 years | 6.0 years | 6.0 years | |||||||||||||||||
Expected volatility | 33.00% | 30.00% | 30.00% | |||||||||||||||||
Risk-free interest rate | 1.60% | 2.20% | 2.50% | |||||||||||||||||
Expected volatility is determined by looking at a combination of historical volatility over the past seven years as well as implied volatility going forward. | ||||||||||||||||||||
Translation of Foreign Currency | ' | |||||||||||||||||||
Translation of Foreign Currency | ||||||||||||||||||||
The financial position and results of operations of the Company's HumiSeal Europe Ltd and Chase Protective Coatings Ltd businesses are measured using the UK pound sterling as the functional currency, and the financial position and results of operations of the Company's HumiSeal Europe SARL business in France are measured using euros as the functional currency. Revenues and expenses of these businesses have been translated at average exchange rates. Assets and liabilities have been translated at the year-end exchange rates. Translation gains and losses are being recorded as a separate component of shareholders' equity. Transaction gains and losses generated from the remeasurement of assets and liabilities denominated in currencies other than the functional currency of our foreign operations are included in other income on the consolidated statements of operations. | ||||||||||||||||||||
Income Taxes | ' | |||||||||||||||||||
Income Taxes | ||||||||||||||||||||
The Company accounts for income taxes under the asset and liability method. Under this method, a deferred tax asset or liability is determined based upon the differences between the financial statement and tax bases of assets and liabilities as measured by the enacted tax rates that will be in effect when these differences reverse. Tax credits are recorded as a reduction in income taxes. Valuation allowances are provided if, based upon the weight of available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. | ||||||||||||||||||||
The Company estimates contingent income tax liabilities based on the guidance for accounting for uncertain tax positions as prescribed in ASC Topic 740, "Income Taxes." See Note 7 for more information on the Company's income taxes. | ||||||||||||||||||||
Net Income Per Share | ' | |||||||||||||||||||
Net Income Per Share | ||||||||||||||||||||
The Company has unvested share-based payments awards with a right to receive nonforfeitable dividends, which are considered participating securities under ASC Topic 260, "Earnings Per Share" ("ASC 260"). The Company allocates earnings to participating securities and computes earnings per share using the two class method. | ||||||||||||||||||||
Comprehensive Income | ' | |||||||||||||||||||
Comprehensive Income | ||||||||||||||||||||
Comprehensive income is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources, including foreign currency translation adjustments, unrealized gains and losses on marketable securities and adjustments related to the change in the funded status of the pension plans. | ||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | ' | |||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | ||||||||||||||||||||
Accumulated other comprehensive loss, a component of stockholders' equity, is composed of the following: (1) cumulative unrealized gains on restricted investments, net of taxes; (2) cumulative changes in the pension and postretirement plan liabilities, net of taxes; and (3) cumulative translation adjustments, net of taxes. The components of accumulated other comprehensive income (loss) consists of the following as of August 31, 2013 and 2012: | ||||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Unrealized gains on restricted investments, net of tax | $ | 143 | $ | 59 | ||||||||||||||||
Pension and postretirement plan liabilities, net of tax benefit | (3,578 | ) | (3,779 | ) | ||||||||||||||||
Foreign currency translation adjustment | (1,728 | ) | (1,310 | ) | ||||||||||||||||
Accumulated other comprehensive income (loss) | $ | (5,163 | ) | $ | (5,030 | ) | ||||||||||||||
Non-controlling Interest | ' | |||||||||||||||||||
Non-controlling Interest | ||||||||||||||||||||
A legal entity is subject to the consolidation rules of ASC Topic 810, "Consolidations" ("ASC 810") if the total equity investment at risk is not sufficient to permit the legal entity to finance its activities without additional subordinated financial support or the equity investors lack certain specified characteristics of a controlling financial interest. Based on the criteria in ASC 810, the Company determined that its joint venture agreement qualifies as a variable interest entity ("VIE"). The purpose of the joint venture is to combine the elements of NEPTCO's and the joint venture partner's (an otherwise unrelated party) fiber optic strength element businesses. Under ASC 810, a reporting entity shall consolidate a VIE when that reporting entity has a variable interest (or combination of variable interests) that provides the reporting entity with a controlling financial interest. The reporting entity shall be deemed to have a controlling financial interest in a VIE if it has both of the following characteristics: a) the power to direct the activities of a VIE that most significantly impact the VIE's economic performance; and b) the obligation to absorb losses or right to receive benefits from the VIE that could potentially be significant to the VIE. The reporting entity that consolidates a VIE is called the "primary beneficiary" of that VIE. The Company determined that it is the primary beneficiary of the VIE primarily due to Chase directing the activities that most significantly impact the VIE's economic performance, which is the actual management and operation of the joint venture and having the obligation to absorb losses and the right to receive benefits from the VIE that could potentially be significant to the VIE through our equity investment in the VIE. As a result, the Company has consolidated the operations of the joint venture in its consolidated financial statements. | ||||||||||||||||||||
Segments | ' | |||||||||||||||||||
Segments | ||||||||||||||||||||
The segment reporting topic of the Financial Accounting Standards Board ("FASB") codification establishes standards for reporting information about operating segments. The Company is organized into two operating segments, an Industrial Materials segment and a Construction Materials segment. The basis for this segmentation is distinguished by the nature of the products and how they are delivered to their respective markets. The Industrial Materials segment reflects specified products that are used in or integrated into another company's product with demand dependent upon general economic conditions. Industrial Materials products include insulating and conducting materials for wire and cable manufacturers, moisture protective coatings for electronics and printing services, laminated durable papers, and flexible composites and laminates for the packaging and industrial laminate markets. Effective with its acquisition in June 2012, the full listing of NEPTCO products and services are included in the Industrial Materials segment. The Construction Materials segment reflects its construction project oriented product offerings which are primarily sold and used as "Chase" branded products in final form. Construction Materials products include protective coatings for pipeline applications, coating and lining systems for use in liquid storage and containment applications, high performance polymeric asphalt additives, and expansion and control joint systems for use in the transportation and architectural markets. | ||||||||||||||||||||
Recently Issued Accounting Standards | ' | |||||||||||||||||||
Recently Issued Accounting Standards | ||||||||||||||||||||
In July 2012, the FASB issued ASU 2012-02, "Testing Indefinite-Lived Intangible Assets for Impairment." This ASU amends ASC 350, "Intangibles—Goodwill and Other" to allow entities an option to first assess qualitative factors to determine whether it is necessary to perform the quantitative impairment test. Under that option, an entity no longer would be required to calculate the fair value of the intangible asset unless the entity determines, based on that qualitative assessment, that it is more likely than not that its fair value is less than its carrying amount. The amendments in this ASU are effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012, with early adoption permitted. The adoption of ASU 2012-02 did not have an impact on the Company's consolidated financial position, results of operations or cash flows. | ||||||||||||||||||||
In February 2013, the FASB issued ASU 2013-02, "Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income." This ASU expands the presentation of changes in accumulated other comprehensive income. The new guidance requires an entity to disaggregate the total change of each component of other comprehensive income either on the face of the net income statement or as a separate disclosure in the notes. ASU 2013-02 is effective for fiscal years beginning after December 15, 2012. The adoption of this ASU is only disclosure related and will not have an impact on the Company's consolidated financial position, results of operations, comprehensive income or cash flows. ASU 2013-02 will become effective for the Company in fiscal 2014. | ||||||||||||||||||||
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | |||||||||||||||||||
Aug. 31, 2013 | ||||||||||||||||||||
Summary of Significant Accounting Policies | ' | |||||||||||||||||||
Schedule of balance sheet accounts that were revised from their previously reported amounts | ' | |||||||||||||||||||
Previously reported (unaudited) | As Revised (unaudited) | |||||||||||||||||||
For the fiscal quarters ended, | For the fiscal quarters ended, | |||||||||||||||||||
11/30/12 | 2/28/13 | 5/31/13 | 11/30/12 | 2/28/13 | 5/31/13 | |||||||||||||||
Liabilities and Equity | ||||||||||||||||||||
Accumulated pension obligation | 7,508 | 8,012 | 7,618 | 7,180 | 6,814 | 6,420 | ||||||||||||||
Accrued income taxes | 1,460 | 11 | 1,058 | 1,573 | 424 | 1,471 | ||||||||||||||
Accumulated other comprehensive loss | (4,567 | ) | (5,916 | ) | (5,818 | ) | (4,353 | ) | (5,131 | ) | (5,033 | ) | ||||||||
Schedule of estimated useful lives of property, plant and equipment | ' | |||||||||||||||||||
Buildings | 20 to 40 years | |||||||||||||||||||
Machinery and equipment | 3 to 10 years | |||||||||||||||||||
Schedule of weighted average assumptions used to estimate the fair value of options granted on the date of grant using the Black-Scholes option pricing model | ' | |||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||
Expected Dividend yield | 2.20% | 2.30% | 2.00% | |||||||||||||||||
Expected life | 6.0 years | 6.0 years | 6.0 years | |||||||||||||||||
Expected volatility | 33.00% | 30.00% | 30.00% | |||||||||||||||||
Risk-free interest rate | 1.60% | 2.20% | 2.50% | |||||||||||||||||
Schedule of components of accumulated other comprehensive income (loss) | ' | |||||||||||||||||||
2013 | 2012 | |||||||||||||||||||
Unrealized gains on restricted investments, net of tax | $ | 143 | $ | 59 | ||||||||||||||||
Pension and postretirement plan liabilities, net of tax benefit | (3,578 | ) | (3,779 | ) | ||||||||||||||||
Foreign currency translation adjustment | (1,728 | ) | (1,310 | ) | ||||||||||||||||
Accumulated other comprehensive income (loss) | $ | (5,163 | ) | $ | (5,030 | ) | ||||||||||||||
Inventories_Tables
Inventories (Tables) | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Inventories | ' | |||||||
Schedule of inventories | ' | |||||||
2013 | 2012 | |||||||
Raw materials | $ | 14,545 | $ | 12,388 | ||||
Work in process | 5,967 | 7,384 | ||||||
Finished goods | 11,536 | 12,551 | ||||||
Total Inventories | $ | 32,048 | $ | 32,323 | ||||
Property_Plant_and_Equipment_T
Property, Plant and Equipment (Tables) | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Property, Plant and Equipment | ' | |||||||
Schedule of property, plant and equipment | ' | |||||||
2013 | 2012 | |||||||
Property, Plant and Equipment | ||||||||
Land and improvements | $ | 5,719 | $ | 5,734 | ||||
Buildings | 20,943 | 20,373 | ||||||
Machinery and equipment | 44,284 | 43,738 | ||||||
Leasehold improvements | 2,034 | 2,160 | ||||||
Construction in progress | 3,763 | 5,811 | ||||||
76,743 | 77,816 | |||||||
Accumulated depreciation | (31,551 | ) | (28,537 | ) | ||||
Property, plant and equipment, net | $ | 45,192 | $ | 49,279 | ||||
Goodwill_and_Intangible_Assets1
Goodwill and Intangible Assets (Tables) | 12 Months Ended | ||||||||||||
Aug. 31, 2013 | |||||||||||||
Goodwill and Intangible Assets | ' | ||||||||||||
Schedule of changes in the carrying value of goodwill by operating segment | ' | ||||||||||||
Construction | Industrial | Consolidated | |||||||||||
Materials | Materials | ||||||||||||
Balance at August 31, 2011 | $ | 10,661 | $ | 7,399 | $ | 18,060 | |||||||
Acquisition of NEPTCO, Inc. | — | 19,668 | 19,668 | ||||||||||
Acquisition of Capital Services—additional earnout | 87 | — | 87 | ||||||||||
Acquisition of Paper Tyger—additional earnout | — | 68 | 68 | ||||||||||
Acquisition of Metronelec assets—additional earnout | — | 203 | 203 | ||||||||||
Foreign currency translation adjustment | (8 | ) | (293 | ) | (301 | ) | |||||||
Balance at August 31, 2012 | $ | 10,740 | $ | 27,045 | $ | 37,785 | |||||||
Acquisition of NEPTCO, Inc.—working capital settlement | — | (84 | ) | (84 | ) | ||||||||
Acquisition of Paper Tyger—additional earnout | — | 141 | 141 | ||||||||||
Foreign currency translation adjustment | (5 | ) | (22 | ) | (27 | ) | |||||||
Balance at August 31, 2013 | $ | 10,735 | $ | 27,080 | $ | 37,815 | |||||||
Schedule of intangible assets subject to amortization | ' | ||||||||||||
Weighted-Average | Gross Carrying | Accumulated | Net Carrying | ||||||||||
Amortization Period | Value | Amortization | Value | ||||||||||
August 31, 2013 | |||||||||||||
Patents and agreements | 11.9 years | $ | 3,198 | $ | 2,200 | $ | 998 | ||||||
Formulas | 9.1 years | 5,772 | 2,238 | 3,534 | |||||||||
Trade names | 5.7 years | 6,345 | 2,055 | 4,290 | |||||||||
Customer lists and relationships | 10.2 years | 34,020 | 11,061 | 22,959 | |||||||||
$ | 49,335 | $ | 17,554 | $ | 31,781 | ||||||||
August 31, 2012 | |||||||||||||
Patents and agreements | 12.1 years | $ | 2,849 | $ | 2,177 | $ | 672 | ||||||
Formulas | 9.1 years | 5,791 | 1,683 | 4,108 | |||||||||
Trade names | 5.7 years | 6,360 | 1,022 | 5,338 | |||||||||
Customer lists and relationships | 10.2 years | 34,210 | 7,965 | 26,245 | |||||||||
$ | 49,210 | $ | 12,847 | $ | 36,363 | ||||||||
Schedule of estimated amortization expense related to intangible assets | ' | ||||||||||||
Years ending August 31, | |||||||||||||
2014 | $ | 4,941 | |||||||||||
2015 | 4,748 | ||||||||||||
2016 | 4,685 | ||||||||||||
2017 | 4,248 | ||||||||||||
2018 | 4,017 | ||||||||||||
$ | 22,639 | ||||||||||||
Cash_Surrender_Value_of_Life_I1
Cash Surrender Value of Life Insurance (Tables) | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Cash Surrender Value of Life Insurance. | ' | |||||||
Schedule of cash surrender value of life insurance policies | ' | |||||||
2013 | 2012 | |||||||
John Hancock | $ | 4,450 | $ | 4,343 | ||||
John Hancock (formerly Manufacturers' Life Insurance Company) | 1,009 | 954 | ||||||
Metropolitan Life Insurance | 1,739 | 1,768 | ||||||
Other life insurance carriers | 80 | 80 | ||||||
$ | 7,278 | $ | 7,145 | |||||
LongTerm_Debt_and_Notes_Payabl1
Long-Term Debt and Notes Payable (Tables) | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Long-Term Debt and Notes Payable | ' | |||||||
Schedule of long-term debt | ' | |||||||
2013 | 2012 | |||||||
Term note payable to bank in 19 quarterly installments that began in September 2012. The principal amount of the quarterly installments is $1,400 through June 2014, increasing to $1,750 per quarter thereafter through June 2015, and to $2,100 per quarter thereafter through March 2017. Interest is payable monthly at LIBOR rate plus 175 to 225 basis points, based upon the Company's consolidated leverage ratios (effective interest rate of 1.93% at August 31, 2013). Quarterly principal payments will continue through March 2017, and Chase will repay the remaining principal balance plus any interest due on the term note maturity date of June 27, 2017. | $ | 64,400 | $ | 70,000 | ||||
64,400 | 70,000 | |||||||
Less portion payable within one year classified as current | (5,600 | ) | (5,600 | ) | ||||
Long-term debt, less current portion | $ | 58,800 | $ | 64,400 | ||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||
Aug. 31, 2013 | |||||||||||
Income Taxes | ' | ||||||||||
Schedule of domestic and foreign pre-tax income | ' | ||||||||||
Year Ended August 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
United States | $ | 23,562 | $ | 12,767 | $ | 14,419 | |||||
Foreign | 2,248 | 1,229 | 1,754 | ||||||||
$ | 25,810 | $ | 13,996 | $ | 16,173 | ||||||
Schedule of provision (benefit) for income taxes | ' | ||||||||||
Year Ended August 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Current: | |||||||||||
Federal | $ | 8,112 | $ | 5,073 | $ | 4,536 | |||||
State | 1,652 | 392 | 210 | ||||||||
Foreign | 1,043 | 287 | 1,039 | ||||||||
Total current income tax provision | 10,807 | 5,752 | 5,785 | ||||||||
Deferred: | |||||||||||
Federal | (1,302 | ) | (860 | ) | (47 | ) | |||||
State | (92 | ) | (150 | ) | 2 | ||||||
Foreign | (343 | ) | (10 | ) | (498 | ) | |||||
Total deferred income tax benefit | (1,737 | ) | (1,020 | ) | (543 | ) | |||||
Total income tax provision | $ | 9,070 | $ | 4,732 | $ | 5,242 | |||||
Schedule of reconciliation of the effective income tax rate with the U.S. federal statutory income tax rate | ' | ||||||||||
Year Ended August 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Federal statutory rates | 35 | % | 35 | % | 35 | % | |||||
Adjustment resulting from the tax effect of: | |||||||||||
State and local taxes, net of federal benefit | 3.8 | % | 1.1 | % | 1.1 | % | |||||
Domestic production deduction | (3.3 | )% | (3.5 | )% | (3.0 | )% | |||||
Foreign tax rate differential | (0.7 | )% | (0.6 | )% | (0.7 | )% | |||||
Adjustment to uncertain tax position | (1.1 | )% | (1.3 | )% | — | ||||||
Transaction costs not deductible | — | 2.6 | % | — | |||||||
Research credit generated | (1.2 | )% | (0.8 | )% | (0.7 | )% | |||||
Noncontrolling partnership interest | 0.6 | % | — | — | |||||||
Tax effect of undistributed earnings | 0.6 | % | 0.1 | % | 0.3 | % | |||||
Other | 1.4 | % | 1.2 | % | 0.4 | % | |||||
Effective income tax rate | 35.1 | % | 33.8 | % | 32.4 | % | |||||
Summary of the tax effect of temporary differences on the Company's income tax provision | ' | ||||||||||
Year Ended August 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Current income tax provision | $ | 10,807 | $ | 5,752 | $ | 5,785 | |||||
Deferred provision (benefit): | |||||||||||
Allowance for doubtful accounts | (15 | ) | (39 | ) | 9 | ||||||
Inventories | (259 | ) | (640 | ) | (248 | ) | |||||
Pension expense | (207 | ) | 446 | 210 | |||||||
Deferred compensation | (51 | ) | (70 | ) | (15 | ) | |||||
Loan finance costs | 66 | (116 | ) | — | |||||||
Accruals | 861 | (177 | ) | (56 | ) | ||||||
Warranty reserve | — | (56 | ) | (6 | ) | ||||||
Depreciation and amortization | (1,836 | ) | (701 | ) | 66 | ||||||
Restricted stock grant | (102 | ) | (74 | ) | (391 | ) | |||||
Unrepatriated earnings | 1,572 | (133 | ) | 1,137 | |||||||
Foreign taxes net of unrepatriated earnings | (1,425 | ) | 497 | (1,086 | ) | ||||||
Foreign amortization | (105 | ) | (134 | ) | (112 | ) | |||||
Other accrued expenses | (236 | ) | 177 | (51 | ) | ||||||
Total deferred income tax benefit | (1,737 | ) | (1,020 | ) | (543 | ) | |||||
Total income tax provision | $ | 9,070 | $ | 4,732 | $ | 5,242 | |||||
Summary of tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities | ' | ||||||||||
As of August 31, | |||||||||||
2013 | 2012 | ||||||||||
Current: | |||||||||||
Deferred tax assets: | |||||||||||
Allowance for doubtful accounts | $ | 330 | $ | 314 | |||||||
Inventories | 1,291 | 1,032 | |||||||||
Accruals | 504 | 858 | |||||||||
Warranty reserve | 82 | 82 | |||||||||
Current deferred tax assets | 2,207 | 2,286 | |||||||||
Deferred tax liabilities: | |||||||||||
Prepaid liabilities | (92 | ) | (78 | ) | |||||||
Current deferred tax liabilities | (92 | ) | (78 | ) | |||||||
Current deferred tax assets, net | 2,115 | 2,208 | |||||||||
Noncurrent: | |||||||||||
Deferred tax assets: | |||||||||||
Pension accrual | 2,162 | 2,138 | |||||||||
Deferred compensation | 775 | 724 | |||||||||
Loan finance costs | 50 | 116 | |||||||||
Unrealized gain/loss on restricted investments | (23 | ) | (4 | ) | |||||||
Restricted stock grants | 1,122 | 1,029 | |||||||||
Non qualified stock options | 16 | 16 | |||||||||
Foreign tax credits | 6,326 | 4,901 | |||||||||
Foreign other | 256 | 39 | |||||||||
Other | — | 331 | |||||||||
Noncurrent deferred tax assets | 10,684 | 9,290 | |||||||||
Deferred tax liabilities: | |||||||||||
Unrepatriated earnings | (6,515 | ) | (4,901 | ) | |||||||
Foreign intangibles | 118 | 18 | |||||||||
Depreciation and amortization | (13,780 | ) | (15,350 | ) | |||||||
Other | 26 | — | |||||||||
Noncurrent deferred tax liabilities | (20,151 | ) | (20,233 | ) | |||||||
Noncurrent deferred tax liabilities, net | (9,467 | ) | (10,943 | ) | |||||||
Net deferred tax liabilities | $ | (7,352 | ) | $ | (8,735 | ) | |||||
Summary of the Company's adjustments to its uncertain tax positions | ' | ||||||||||
2013 | 2012 | 2011 | |||||||||
Balance, at beginning of the year | $ | 1,180 | $ | 893 | $ | 887 | |||||
Increase for tax positions related to the current year | 17 | 19 | 50 | ||||||||
Increase / (decrease) for tax positions related to prior years | 73 | (176 | ) | (44 | ) | ||||||
Increase for amounts recorded in acquisition accounting | — | 465 | — | ||||||||
Decreases for settlements with applicable taxing authorities | — | (21 | ) | — | |||||||
Decreases for lapses of statute of limitations | (370 | ) | — | — | |||||||
Balance, at end of year | $ | 900 | $ | 1,180 | $ | 893 | |||||
Capital_and_Operating_Leases_T
Capital and Operating Leases (Tables) | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Capital and Operating Leases | ' | |||||||
Schedule of future minimum lease payments under non-cancelable operating leases and the present value of future minimum capital lease payments | ' | |||||||
Year ending August 31, | Future Capital | Future Operating | ||||||
Lease Payments | Lease Payments | |||||||
2014 | $ | 17 | $ | 856 | ||||
2015 | 16 | 705 | ||||||
2016 | 7 | 674 | ||||||
2017 | — | 659 | ||||||
2018 | — | 644 | ||||||
2019 and thereafter | — | 3,706 | ||||||
Total future minimum lease payments | $ | 40 | $ | 7,244 | ||||
Less: interest (at rates ranging from 4% to 8%) | (4 | ) | ||||||
$ | 36 | |||||||
Less: current portion | (14 | ) | ||||||
$ | 22 | |||||||
Benefits_and_Pension_Plans_Tab
Benefits and Pension Plans (Tables) | 12 Months Ended | |||||||||||||||||||||||||
Aug. 31, 2013 | ||||||||||||||||||||||||||
Benefits and Pension Plans | ' | |||||||||||||||||||||||||
Schedule of the status of the Company's pension plans | ' | |||||||||||||||||||||||||
Year Ended August 31, | ||||||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||||||
Change in benefit obligation | ||||||||||||||||||||||||||
Projected benefit obligation at beginning of year | $ | 17,322 | $ | 13,953 | $ | 12,044 | ||||||||||||||||||||
Acquired benefit obligation for Neptco pension plan | — | 1,806 | — | |||||||||||||||||||||||
Service cost | 352 | 482 | 526 | |||||||||||||||||||||||
Interest cost | 503 | 532 | 430 | |||||||||||||||||||||||
Actuarial (gain) loss | 1,019 | 1,908 | 1,013 | |||||||||||||||||||||||
Curtailments | 24 | — | — | |||||||||||||||||||||||
Settlements | (3,443 | ) | (1,316 | ) | — | |||||||||||||||||||||
Benefits paid | (126 | ) | (43 | ) | (60 | ) | ||||||||||||||||||||
Projected benefit obligation at end of year | $ | 15,651 | $ | 17,322 | $ | 13,953 | ||||||||||||||||||||
Change in plan assets | ||||||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 9,405 | $ | 7,235 | $ | 6,022 | ||||||||||||||||||||
Fair value of Neptco pension plan assets | — | 884 | — | |||||||||||||||||||||||
Actual return on plan assets | 690 | 752 | 519 | |||||||||||||||||||||||
Employer contribution | 2,300 | 1,893 | 754 | |||||||||||||||||||||||
Settlements | (3,443 | ) | (1,316 | ) | — | |||||||||||||||||||||
Benefits paid | (126 | ) | (43 | ) | (60 | ) | ||||||||||||||||||||
Fair value of plan assets at end of year | $ | 8,826 | $ | 9,405 | $ | 7,235 | ||||||||||||||||||||
Funded status at end of year | $ | (6,825 | ) | $ | (7,917 | ) | $ | (6,718 | ) | |||||||||||||||||
Amounts recognized in consolidated balance sheets | ||||||||||||||||||||||||||
Non-current assets | $ | 1,014 | $ | — | $ | — | ||||||||||||||||||||
Current liabilities | (5 | ) | (215 | ) | (5 | ) | ||||||||||||||||||||
Non-current liabilities | (7,834 | ) | (7,702 | ) | (6,713 | ) | ||||||||||||||||||||
Net amount recognized in Consolidated Balance Sheets | $ | (6,825 | ) | $ | (7,917 | ) | $ | (6,718 | ) | |||||||||||||||||
Actuarial present value of benefit obligation and funded status | ||||||||||||||||||||||||||
Accumulated benefit obligations | $ | 13,842 | $ | 14,735 | $ | 11,954 | ||||||||||||||||||||
Projected benefit obligations | $ | 15,651 | $ | 17,322 | $ | 13,953 | ||||||||||||||||||||
Plan assets at fair value | $ | 8,826 | $ | 9,405 | $ | 7,235 | ||||||||||||||||||||
Amounts recognized in accumulated other comprehensive Income | ||||||||||||||||||||||||||
Prior service cost | $ | 67 | $ | 82 | $ | 156 | ||||||||||||||||||||
Net actuarial loss | 5,561 | 6,029 | 5,164 | |||||||||||||||||||||||
Adjustment to pre-tax accumulated other comprehensive income | $ | 5,628 | $ | 6,111 | $ | 5,320 | ||||||||||||||||||||
Other changes in plan assets and benefit obligations recognized in other comprehensive income | ||||||||||||||||||||||||||
Net (gain) or loss | $ | 979 | $ | 1,691 | $ | 934 | ||||||||||||||||||||
Amortization of loss | (250 | ) | (276 | ) | (239 | ) | ||||||||||||||||||||
Prior service cost | — | — | — | |||||||||||||||||||||||
Amortization of prior service cost | (13 | ) | (74 | ) | (74 | ) | ||||||||||||||||||||
Effect of settlement on accumulated other comprehensive income | (1,198 | ) | (550 | ) | — | |||||||||||||||||||||
Total recognized in other comprehensive income | (482 | ) | 791 | 621 | ||||||||||||||||||||||
Net periodic pension cost | 1,690 | 1,378 | 829 | |||||||||||||||||||||||
Total recognized in net periodic pension cost and other comprehensive income | $ | 1,208 | $ | 2,169 | $ | 1,450 | ||||||||||||||||||||
Estimated amounts that will be amortized from accumulated comprehensive income over the next fiscal year | ||||||||||||||||||||||||||
Prior service cost | $ | 3 | $ | 14 | $ | 74 | ||||||||||||||||||||
Net actuarial loss or (gain) | 293 | 337 | 276 | |||||||||||||||||||||||
Schedule of components of net periodic benefit cost | ' | |||||||||||||||||||||||||
Year Ended August 31, | ||||||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||||||
Components of net periodic benefit cost | ||||||||||||||||||||||||||
Service cost | $ | 352 | $ | 482 | $ | 526 | ||||||||||||||||||||
Interest cost | 503 | 532 | 430 | |||||||||||||||||||||||
Expected return on plan assets | (651 | ) | (536 | ) | (440 | ) | ||||||||||||||||||||
Amortization of prior service cost | 13 | 74 | 74 | |||||||||||||||||||||||
Amortization of accumulated (gain)/loss | 250 | 276 | 239 | |||||||||||||||||||||||
Settlement and curtailment (gain)/loss | 1,223 | 550 | — | |||||||||||||||||||||||
Net periodic benefit cost | $ | 1,690 | $ | 1,378 | $ | 829 | ||||||||||||||||||||
Schedule of weighted-average assumptions used to determine benefit obligations | ' | |||||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||||||
Discount rate | ||||||||||||||||||||||||||
Qualified plan | 4.54 | % | 3.4 | % | 4.73 | % | ||||||||||||||||||||
Supplemental plan | 3.76 | % | 3.14 | % | 3 | % | ||||||||||||||||||||
Neptco plan | 4.63 | % | 3.77 | % | N/A | |||||||||||||||||||||
Rate of compensation increase | ||||||||||||||||||||||||||
Qualified and supplemental plan | 3.5 | % | 3.5 | % | 3.5 | % | ||||||||||||||||||||
Neptco plan | 0 | % | 0 | % | N/A | |||||||||||||||||||||
Schedule of weighted-average assumptions used to determine net periodic benefit cost | ' | |||||||||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||||||||||
Discount rate | ||||||||||||||||||||||||||
Qualified plan | 3.4 | % | 4.73 | % | 4.45 | % | ||||||||||||||||||||
Supplemental plan | 3.14 | % | 3 | % | 2.51 | % | ||||||||||||||||||||
Neptco plan | 3.77 | % | 4.08 | % | N/A | |||||||||||||||||||||
Expected long-term return on plan assets | ||||||||||||||||||||||||||
Qualified plan | 8 | % | 8 | % | 8 | % | ||||||||||||||||||||
Supplemental plan | 0 | % | 0 | % | 0 | % | ||||||||||||||||||||
Neptco plan | 8 | % | 8 | % | N/A | |||||||||||||||||||||
Rate of compensation increase | ||||||||||||||||||||||||||
Qualified and supplemental plan | 3.5 | % | 3.5 | % | 3.5 | % | ||||||||||||||||||||
Neptco plan | 0 | % | 0 | % | N/A | |||||||||||||||||||||
Benefits and pension plans | ' | |||||||||||||||||||||||||
Schedule of pension plans' assets by asset category | ' | |||||||||||||||||||||||||
Fair value measurements at | Fair value measurements at | |||||||||||||||||||||||||
August 31, 2013: | August 31, 2012: | |||||||||||||||||||||||||
August 31, | Quoted prices | Significant | Significant | August 31, | Quoted prices | Significant | Significant | |||||||||||||||||||
2013 | in active | other | unobservable | 2012 | in active | other | unobservable | |||||||||||||||||||
markets | observable | inputs | markets | observable | inputs | |||||||||||||||||||||
(Level 1) | inputs | (Level 3) | (Level 1) | inputs | (Level 3) | |||||||||||||||||||||
(Level 2) | (Level 2) | |||||||||||||||||||||||||
Asset Category | ||||||||||||||||||||||||||
Equity securities | $ | 4,939 | $ | 4,056 | $ | 883 | $ | — | $ | 5,240 | $ | 4,567 | $ | 673 | $ | — | ||||||||||
Debt securities | 3,553 | 2,795 | 758 | — | 3,745 | 3,037 | 708 | — | ||||||||||||||||||
Real estate | 334 | — | 334 | — | 420 | — | 420 | — | ||||||||||||||||||
Other | — | — | — | — | — | — | — | — | ||||||||||||||||||
Total | $ | 8,826 | $ | 6,851 | $ | 1,975 | $ | — | $ | 9,405 | $ | 7,604 | $ | 1,801 | $ | — | ||||||||||
Schedule of pension benefit payments (which include expected future service) expected to be paid | ' | |||||||||||||||||||||||||
Year ending August 31, | Pension Benefits | |||||||||||||||||||||||||
2014 | $ | 7,667 | ||||||||||||||||||||||||
2015 | 262 | |||||||||||||||||||||||||
2016 | 277 | |||||||||||||||||||||||||
2017 | 357 | |||||||||||||||||||||||||
2018 | 771 | |||||||||||||||||||||||||
2019-2023 | $ | 2,820 | ||||||||||||||||||||||||
Qualified Plan | ' | |||||||||||||||||||||||||
Benefits and pension plans | ' | |||||||||||||||||||||||||
Schedule of target allocation and weighted-average asset allocations | ' | |||||||||||||||||||||||||
Percentage of Plan Assets as of August 31, | ||||||||||||||||||||||||||
Target Allocation Range | ||||||||||||||||||||||||||
Asset Category | 2013 | 2012 | 2011 | |||||||||||||||||||||||
Equity securities | 40-70% | 56% | 54% | 53% | ||||||||||||||||||||||
Debt securities | 20-50% | 40% | 39% | 42% | ||||||||||||||||||||||
Real estate | 0-15% | 4% | 5% | 5% | ||||||||||||||||||||||
Other | 0-10% | 0% | 2% | 0% | ||||||||||||||||||||||
Total | 100% | 100% | 100% | 100% | ||||||||||||||||||||||
Neptco plan | ' | |||||||||||||||||||||||||
Benefits and pension plans | ' | |||||||||||||||||||||||||
Schedule of target allocation and weighted-average asset allocations | ' | |||||||||||||||||||||||||
Percentage of | ||||||||||||||||||||||||||
Plan Assets as of | ||||||||||||||||||||||||||
Target | August 31, | |||||||||||||||||||||||||
Allocation | ||||||||||||||||||||||||||
Asset Category | Range | 2013 | 2012 | |||||||||||||||||||||||
Equity securities | 20-65% | 56% | 50% | |||||||||||||||||||||||
Debt securities | 35-80% | 44% | 50% | |||||||||||||||||||||||
Total | 100% | 100% | 100% | |||||||||||||||||||||||
Stockholders_Equity_Tables
Stockholders' Equity (Tables) | 12 Months Ended | ||||||||||||||||||||||
Aug. 31, 2013 | |||||||||||||||||||||||
Stockholders' Equity | ' | ||||||||||||||||||||||
Summary of information about stock options outstanding | ' | ||||||||||||||||||||||
Options Outstanding | Options Exercisable | ||||||||||||||||||||||
Exercise Prices | Number | Weighted Avg. | Weighted | Aggregate | Number | Weighted | Aggregate | ||||||||||||||||
Outstanding | Remaining | Average | Intrinsic | Exercisable | Average | Intrinsic Value | |||||||||||||||||
Contractual | Exercise Price | Value | Exercise Price | ||||||||||||||||||||
Life | |||||||||||||||||||||||
$11.15 | 106,250 | 6.0 years | $ | 11.15 | $ | 1,973 | 106,250 | $ | 11.15 | $ | 1,973 | ||||||||||||
$12.70 | 62,425 | 7.0 years | 12.7 | 1,063 | 62,425 | 12.7 | 1,063 | ||||||||||||||||
$12.77 | 76,792 | 8.0 years | 12.77 | 1,302 | 49,999 | 12.77 | 848 | ||||||||||||||||
$14.62 | 6,630 | 8.5 years | 14.62 | 100 | 2,210 | 14.62 | 33 | ||||||||||||||||
$16.00 | 43,964 | 9.1 years | 16 | 603 | 14,653 | 16 | 201 | ||||||||||||||||
$16.53 | 256,743 | 4.9 years | 16.53 | 3,386 | 253,926 | 16.53 | 3,349 | ||||||||||||||||
552,804 | 6.2 years | $ | 14.48 | $ | 8,427 | 489,463 | $ | 14.47 | $ | 7,467 | |||||||||||||
Summary of the transactions of the Company's stock option plans | ' | ||||||||||||||||||||||
Non Employee | Weighted | Officers | Weighted | ||||||||||||||||||||
Directors | Average | and | Average | ||||||||||||||||||||
Exercise Price | Employees | Exercise Price | |||||||||||||||||||||
Options outstanding as of August 31, 2010 | 2,500 | $ | 5.25 | 471,000 | $ | 13.12 | |||||||||||||||||
Granted | — | — | 77,626 | 13.45 | |||||||||||||||||||
Exercised | (2,500 | ) | 5.25 | (71,000 | ) | 5.25 | |||||||||||||||||
Forfeited or cancelled | — | — | — | — | |||||||||||||||||||
Options outstanding as of August 31, 2011 | — | $ | — | 477,626 | $ | 14.34 | |||||||||||||||||
Granted | — | — | 87,006 | 12.91 | |||||||||||||||||||
Exercised | — | — | — | — | |||||||||||||||||||
Forfeited or cancelled | — | — | (6,750 | ) | 16.53 | ||||||||||||||||||
Options outstanding at August 31, 2012 | — | $ | — | 557,882 | $ | 14.23 | |||||||||||||||||
Granted | — | — | 43,964 | 16 | |||||||||||||||||||
Exercised | — | — | (49,042 | ) | 11.46 | ||||||||||||||||||
Forfeited or cancelled | — | — | — | — | |||||||||||||||||||
Options outstanding at August 31, 2013 | — | $ | — | 552,804 | $ | 14.48 | |||||||||||||||||
Options exercisable at August 31, 2013 | — | $ | — | 489,463 | $ | 14.47 | |||||||||||||||||
Segment_Data_Tables
Segment Data (Tables) | 12 Months Ended | ||||||||||
Aug. 31, 2013 | |||||||||||
Segment Data | ' | ||||||||||
Summary of information about the Company's segments | ' | ||||||||||
Years Ended August 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Revenues | |||||||||||
Industrial Materials | $ | 163,474 | $ | 95,988 | $ | 75,744 | |||||
Construction Materials | 52,588 | 52,931 | 47,296 | ||||||||
Total | $ | 216,062 | $ | 148,919 | $ | 123,040 | |||||
Income before taxes | |||||||||||
Industrial Materials | $ | 26,400 | $ | 17,643 | $ | 16,850 | |||||
Construction Materials | 6,463 | 4,913 | 4,452 | ||||||||
Total for reportable segments | 32,863 | 22,556 | 21,302 | ||||||||
Corporate and common costs | (7,053 | ) | (8,560 | ) | (5,129 | ) | |||||
Total | $ | 25,810 | $ | 13,996 | $ | 16,173 | |||||
Schedule of reconciliation of total assets from reportable segments to the consolidated balance sheets | ' | ||||||||||
As of August 31, | |||||||||||
2013 | 2012 | ||||||||||
Total assets | |||||||||||
Industrial Materials | $ | 133,110 | $ | 135,322 | |||||||
Construction Materials | 48,573 | 53,509 | |||||||||
Total for reportable segments | 181,683 | 188,831 | |||||||||
Corporate and common assets | 42,677 | 26,001 | |||||||||
Total | $ | 224,360 | $ | 214,832 | |||||||
Supplemental_Cash_Flow_Data_Ta
Supplemental Cash Flow Data (Tables) | 12 Months Ended | ||||||||||
Aug. 31, 2013 | |||||||||||
Supplemental Cash Flow Data | ' | ||||||||||
Schedule of supplemental cash flow information | ' | ||||||||||
2013 | 2012 | 2011 | |||||||||
Income taxes paid | $ | 9,913 | $ | 5,561 | $ | 7,465 | |||||
Interest paid | $ | 1,545 | $ | 352 | $ | 276 | |||||
Non-cash Investing and Financing Activities | |||||||||||
Common stock received for payment of stock option exercises | $ | 488 | $ | — | $ | 386 | |||||
Property, plant & equipment additions included in accounts payable | $ | 112 | $ | 117 | $ | 329 | |||||
Acquisition of Neptco Inc | |||||||||||
Current assets (excluding cash) | $ | 24,948 | |||||||||
Property and equipment | 18,657 | ||||||||||
Goodwill | 19,668 | ||||||||||
Intangible assets | 23,165 | ||||||||||
Accounts payable and accrued liabilities | (10,841 | ) | |||||||||
Long term liabilities | (736 | ) | |||||||||
Deferred tax liabilities | (11,051 | ) | |||||||||
Minority interest of joint venture partner | (1,593 | ) | |||||||||
Cash provided through operating cash and increase in debt | $ | (62,217 | ) | ||||||||
Acquisitions_Tables
Acquisitions (Tables) | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Acquisitions | ' | |||||||
Schedule of pro forma information | ' | |||||||
Three Months | Year Ended | |||||||
Ended | August 31, 2012 | |||||||
August 31, 2012 | ||||||||
Revenues | $ | 58,900 | $ | 226,254 | ||||
Net income attributable to the Company | 3,590 | 11,779 | ||||||
Net income attributable to the Company available to common shareholders, per common and common equivalent share | ||||||||
Basic | $ | 0.4 | $ | 1.3 | ||||
Diluted | $ | 0.4 | $ | 1.3 | ||||
NEPTCO | ' | |||||||
Acquisitions | ' | |||||||
Schedule of purchase price that has been allocated to the acquired tangible and identifiable intangible assets and liabilities assumed based on their fair values as of the date of the acquisition | ' | |||||||
Assets & Liabilities | Amount | |||||||
Current assets (net of cash acquired) | $ | 24,948 | ||||||
Property, plant & equipment | 18,657 | |||||||
Goodwill | 19,668 | |||||||
Intangible assets | 23,165 | |||||||
Accounts payable and accrued liabilities | (10,841 | ) | ||||||
Long term liabilities | (736 | ) | ||||||
Deferred tax liabilities | (11,051 | ) | ||||||
Minority interest of joint venture partner | (1,593 | ) | ||||||
Total purchase price | $ | 62,217 | ||||||
Schedule of identifiable intangible assets purchased as part of business acquisition | ' | |||||||
Intangible Asset | Amount | Useful life | ||||||
Customer Relationships | $ | 15,330 | 10 years | |||||
Trade names | 4,988 | 6 years | ||||||
Technology | 2,267 | 8 years | ||||||
Backlog | 20 | 4 months | ||||||
Prepaid patent costs | 560 | 10 years (1) | ||||||
Total intangible assets | $ | 23,165 | ||||||
-1 | ||||||||
To be amortized once placed in service | ||||||||
Joint_Venture_Tables
Joint Venture (Tables) | 12 Months Ended | |||||||
Aug. 31, 2013 | ||||||||
Joint Venture | ' | |||||||
Schedule of condensed balance sheet of the JV | ' | |||||||
August 31, | ||||||||
Assets | 2013 | 2012 | ||||||
Cash | $ | 394 | $ | 1,008 | ||||
Accounts receivable, net | 1,106 | 1,540 | ||||||
Inventories, net | 1,510 | 2,394 | ||||||
Prepaid expenses and other assets | 283 | 219 | ||||||
Property, plant and equipment, net | 448 | 630 | ||||||
Intangible assets, net | 706 | 655 | ||||||
Total assets | $ | 4,447 | $ | 6,446 | ||||
Liabilities and net assets | ||||||||
Accounts payable and accrued expenses | $ | 679 | $ | 1,650 | ||||
Due to Members | 1,677 | 1,757 | ||||||
Total liabilities | $ | 2,356 | $ | 3,407 | ||||
Net assets | $ | 2,091 | $ | 3,039 | ||||
Non-controlling interest | $ | 1,046 | $ | 1,520 | ||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | ||||||||||||||||
Aug. 31, 2013 | |||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||
Schedule of financial assets that were accounted for at fair value on a recurring basis | ' | ||||||||||||||||
Fair value measurement category | |||||||||||||||||
Fair value | Total | Quoted prices | Significant | Significant | |||||||||||||
measurement | in active | other observable | unobservable | ||||||||||||||
date | markets | inputs | inputs | ||||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Assets: | |||||||||||||||||
Restricted investments | August 31, 2013 | $ | 1,094 | $ | 1,094 | $ | — | $ | — | ||||||||
Restricted investments | August 31, 2012 | $ | 874 | $ | 874 | $ | — | $ | — | ||||||||
Schedule of fair values of the Company's long-term debt | ' | ||||||||||||||||
Fair value measurement category | |||||||||||||||||
Fair value | Total | Quoted prices | Significant | Significant | |||||||||||||
measurement | in active | other observable | unobservable | ||||||||||||||
date | markets | inputs | inputs | ||||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||
Liabilities: | |||||||||||||||||
Long-term debt | August 31, 2013 | $ | 64,400 | $ | — | $ | 64,400 | $ | — | ||||||||
Long-term debt | August 31, 2012 | $ | 70,000 | $ | — | $ | 70,000 | $ | — | ||||||||
Net_Income_Per_Share_Tables
Net Income Per Share (Tables) | 12 Months Ended | ||||||||||
Aug. 31, 2013 | |||||||||||
Net Income Per Share | ' | ||||||||||
Schedule of determination of earnings per share under the two-class method | ' | ||||||||||
Years Ended August 31, | |||||||||||
2013 | 2012 | 2011 | |||||||||
Net income attributable to Chase Corporation | $ | 17,214 | $ | 9,338 | $ | 10,931 | |||||
Less: Allocated to participating securities | 396 | 295 | 279 | ||||||||
Available to common shareholders | $ | 16,818 | $ | 9,043 | $ | 10,652 | |||||
Basic weighted averages shares outstanding | 8,860,972 | 8,761,262 | 8,721,452 | ||||||||
Additional dilutive common stock equivalents | 117,466 | 25,488 | 42,356 | ||||||||
Diluted weighted averages shares outstanding | 8,978,438 | 8,786,750 | 8,763,808 | ||||||||
Net income available to common shareholders, per common and common equivalent share | |||||||||||
Basic | $ | 1.9 | $ | 1.03 | $ | 1.22 | |||||
Diluted | $ | 1.87 | $ | 1.03 | $ | 1.22 | |||||
Assets_Held_for_Sale_Tables
Assets Held for Sale (Tables) | 12 Months Ended | ||||
Aug. 31, 2013 | |||||
Assets Held for Sale | ' | ||||
Summary of information about the Insulfab product line | ' | ||||
August 31, 2013 | |||||
Inventory | $ | 885 | |||
Property & equipment | 1,060 | ||||
Accrued expenses | (40 | ) | |||
$ | 1,905 | ||||
Selected_Quarterly_Financial_D1
Selected Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended | ||||||||||||||||
Aug. 31, 2013 | |||||||||||||||||
Selected Quarterly Financial Data (Unaudited) | ' | ||||||||||||||||
Schedule of unaudited operating results for each of the Company's quarters | ' | ||||||||||||||||
Fiscal Year 2013 Quarters | |||||||||||||||||
First | Second | Third | Fourth | Year | |||||||||||||
Net Sales | $ | 52,976 | $ | 47,714 | $ | 55,096 | $ | 57,862 | $ | 213,648 | |||||||
Gross Profit on Sales | 15,705 | 14,247 | 18,264 | 19,398 | 67,614 | ||||||||||||
Net income attributable to Chase Corporation | $ | 3,540 | $ | 2,644 | $ | 5,134 | $ | 5,896 | $ | 17,214 | |||||||
Net income available to common shareholders, per common and common equivalent share: | |||||||||||||||||
Basic | $ | 0.39 | $ | 0.29 | $ | 0.57 | $ | 0.65 | $ | 1.9 | |||||||
Diluted | $ | 0.39 | $ | 0.29 | $ | 0.56 | $ | 0.64 | $ | 1.87 | |||||||
Fiscal Year 2012 Quarters | |||||||||||||||||
First | Second | Third | Fourth | Year | |||||||||||||
Net Sales | $ | 31,654 | $ | 28,836 | $ | 34,378 | $ | 51,626 | $ | 146,494 | |||||||
Gross Profit on Sales | 9,655 | 7,814 | 12,168 | 15,608 | 45,245 | ||||||||||||
Net income attributable to Chase Corporation | $ | 2,327 | $ | 1,197 | $ | 3,373 | $ | 2,441 | $ | 9,338 | |||||||
Net income available to common shareholders, per common and common equivalent share: | |||||||||||||||||
Basic | $ | 0.26 | $ | 0.13 | $ | 0.37 | $ | 0.27 | $ | 1.03 | |||||||
Diluted | $ | 0.26 | $ | 0.13 | $ | 0.37 | $ | 0.27 | $ | 1.03 | |||||||
Valuation_and_Qualifying_Accou1
Valuation and Qualifying Accounts (Tables) | 12 Months Ended | |||||||||||||
Aug. 31, 2013 | ||||||||||||||
Valuation and Qualifying Accounts | ' | |||||||||||||
Schedule of Company's accounts receivable reserve | ' | |||||||||||||
Year ended | Balance at | Charges to | Deductions to | Balance at | ||||||||||
Beginning of Year | Operations | Reserves | End of Year | |||||||||||
August 31, 2013 | $ | 817 | $ | 135 | $ | (256 | ) | $ | 696 | |||||
August 31, 2012 | $ | 473 | $ | 459 | $ | (115 | ) | $ | 817 | |||||
August 31, 2011 | $ | 347 | $ | 327 | $ | (201 | ) | $ | 473 | |||||
Schedule of Company's warranty reserve | ' | |||||||||||||
Year ended | Balance at | Charges to | Deductions to | Balance at | ||||||||||
Beginning of | Operations | Reserves | End of Year | |||||||||||
Year | ||||||||||||||
August 31, 2013 | $ | 249 | — | $ | (1 | ) | $ | 248 | ||||||
August 31, 2012 | $ | 362 | $ | 157 | $ | (270 | ) | $ | 249 | |||||
August 31, 2011 | $ | 279 | $ | 288 | $ | (205 | ) | $ | 362 |
Summary_of_Significant_Account3
Summary of Significant Accounting Policies (Details ) (USD $) | 0 Months Ended | 12 Months Ended | 1 Months Ended | ||
Oct. 23, 2013 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Jun. 30, 2012 | |
NEPTCO | |||||
Basis of Presentation | ' | ' | ' | ' | ' |
Minimum percentage of ownership interest in investments in unconsolidated entities under the equity method | ' | 20.00% | ' | ' | ' |
Percentage of ownership stake acquired | ' | ' | ' | ' | 50.00% |
Percentage of net assets and net loss of the JV recorded within the Company's consolidated financial statements | ' | ' | ' | ' | 50.00% |
Percentage of ownership stake and pro rata share in net result of the JV | ' | ' | ' | ' | 50.00% |
Cash dividends declared per share (in dollars per share) | $0.45 | $0.40 | $0.35 | $0.35 | ' |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies (Details 2) (USD $) | 12 Months Ended | 12 Months Ended | 3 Months Ended | 6 Months Ended | 9 Months Ended | |||||||||||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2013 | 31-May-13 | Feb. 28, 2013 | Nov. 30, 2012 | Aug. 31, 2013 | 31-May-13 | Feb. 28, 2013 | Nov. 30, 2012 | Feb. 28, 2013 | Nov. 30, 2012 | Feb. 28, 2013 | 31-May-13 | Aug. 31, 2012 |
item | Adjustment for immaterial error correction | Adjustment for immaterial error correction | Adjustment for immaterial error correction | Adjustment for immaterial error correction | Adjustment for immaterial error correction | Adjustment for immaterial error correction | Adjustment for immaterial error correction | Adjustment for immaterial error correction | Adjustment for immaterial error correction | Adjustment for immaterial error correction | Adjustment for immaterial error correction | Adjustment for immaterial error correction | Adjustment for immaterial error correction | |||
Previously reported | Previously reported | Previously reported | Previously reported | Adjustment | Adjustment | Adjustment | Adjustment | Adjustment | ||||||||
NEPTCO | ||||||||||||||||
Summary of Significant Accounting Policies | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of Line Items of Statement of Cash Flows Containing Immaterial Error | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Pension curtailment and settlement loss | $1,223 | $550 | ' | $550 | ' | ' | ' | ($550) | ' | ' | ' | ' | ' | ' | ' | ' |
Accrued compensation and other expenses | -791 | -174 | -215 | -174 | ' | ' | ' | 926 | ' | ' | ' | ' | ' | ' | ' | ' |
LIABILITIES AND EQUITY | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accumulated pension obligation | 7,834 | 7,702 | 6,713 | ' | 6,420 | 6,814 | 7,180 | ' | 7,618 | 8,012 | 7,508 | ' | ' | ' | ' | ' |
Accrued income taxes | 2,161 | 1,892 | ' | ' | 1,471 | 424 | 1,573 | ' | 1,058 | 11 | 1,460 | ' | ' | ' | ' | ' |
Accumulated other comprehensive loss | -5,163 | -5,030 | ' | ' | -5,033 | -5,131 | -4,353 | ' | -5,818 | -5,916 | -4,567 | ' | ' | ' | ' | ' |
Comprehensive Income | 16,607 | 7,900 | 11,995 | ' | ' | ' | ' | ' | ' | ' | ' | 571 | 214 | 785 | 785 | ' |
Non current deferred tax liabilities | 9,467 | 10,943 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,655 |
Current deferred tax assets | 2,115 | 2,208 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 647 |
Goodwill | $37,815 | $37,785 | $18,060 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $1,008 |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies (Details 3) | 12 Months Ended |
Aug. 31, 2013 | |
item | |
Goodwill | ' |
Number of operating segments | 2 |
Buildings | Minimum | ' |
Property, plant and equipment | ' |
Estimated useful life | '20 years |
Buildings | Maximum | ' |
Property, plant and equipment | ' |
Estimated useful life | '40 years |
Machinery and equipment | Minimum | ' |
Property, plant and equipment | ' |
Estimated useful life | '3 years |
Machinery and equipment | Maximum | ' |
Property, plant and equipment | ' |
Estimated useful life | '10 years |
Summary_of_Significant_Account6
Summary of Significant Accounting Policies (Details 4) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
item | |||
Restricted Investments and Deferred Compensation | ' | ' | ' |
Restricted investments | $1,094 | $874 | ' |
Deferred compensation liability | 1,094 | 874 | ' |
Split-Dollar Life Insurance Arrangements | ' | ' | ' |
Discount rate (as a percent) | 1.52% | ' | ' |
Postretirement obligations | 56 | 48 | ' |
Revenue Recognition | ' | ' | ' |
Period during which warranty claims must be received from the date of delivery | '90 days | ' | ' |
Research and Product Development Costs | ' | ' | ' |
Research and development expense | 3,395 | 2,958 | 2,452 |
Stock Based Compensation | ' | ' | ' |
Stock-based compensation expense | $1,621 | $2,040 | $1,682 |
Weighted average assumptions used to estimate the fair value of options granted | ' | ' | ' |
Expected Dividend yield (as a percent) | 2.20% | 2.30% | 2.00% |
Expected life | '6 years | '6 years | '6 years |
Expected volatility (as a percent) | 33.00% | 30.00% | 30.00% |
Risk-free interest rate (as a percent) | 1.60% | 2.20% | 2.50% |
Historical volatility period used to determine expected volatility rate | '7 years | ' | ' |
Segments | ' | ' | ' |
Number of operating segments | 2 | ' | ' |
Summary_of_Significant_Account7
Summary of Significant Accounting Policies (Details 5) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | ||
Accumulated Other Comprehensive Income (Loss) | ' | ' |
Accumulated other comprehensive loss | ($5,163) | ($5,030) |
Unrealized gains on restricted investments, net of tax | ' | ' |
Accumulated Other Comprehensive Income (Loss) | ' | ' |
Accumulated other comprehensive loss | 143 | 59 |
Pension and postretirement plan liabilities, net of tax benefit | ' | ' |
Accumulated Other Comprehensive Income (Loss) | ' | ' |
Accumulated other comprehensive loss | -3,578 | -3,779 |
Foreign currency translation adjustment | ' | ' |
Accumulated Other Comprehensive Income (Loss) | ' | ' |
Accumulated other comprehensive loss | ($1,728) | ($1,310) |
Inventories_Details
Inventories (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | ||
Inventories | ' | ' |
Raw materials | $14,545 | $12,388 |
Work in process | 5,967 | 7,384 |
Finished goods | 11,536 | 12,551 |
Total Inventories | $32,048 | $32,323 |
Property_Plant_and_Equipment_D
Property, Plant and Equipment (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | ||
Property, plant and equipment | ' | ' |
Property, plant and equipment, gross | $76,743 | $77,816 |
Accumulated depreciation | -31,551 | -28,537 |
Property, plant and equipment, net | 45,192 | 49,279 |
Land and improvements | ' | ' |
Property, plant and equipment | ' | ' |
Property, plant and equipment, gross | 5,719 | 5,734 |
Buildings | ' | ' |
Property, plant and equipment | ' | ' |
Property, plant and equipment, gross | 20,943 | 20,373 |
Machinery and equipment | ' | ' |
Property, plant and equipment | ' | ' |
Property, plant and equipment, gross | 44,284 | 43,738 |
Leasehold improvements | ' | ' |
Property, plant and equipment | ' | ' |
Property, plant and equipment, gross | 2,034 | 2,160 |
Construction in progress | ' | ' |
Property, plant and equipment | ' | ' |
Property, plant and equipment, gross | $3,763 | $5,811 |
Goodwill_and_Intangible_Assets2
Goodwill and Intangible Assets (Details) (USD $) | 12 Months Ended | |
Aug. 31, 2013 | Aug. 31, 2012 | |
item | ||
Changes in the carrying value of goodwill | ' | ' |
Balance at the beginning of the period | $37,785,000 | $18,060,000 |
Foreign currency translation adjustment | -27,000 | -301,000 |
Balance at the end of the period | 37,815,000 | 37,785,000 |
Number of reportable segments | 2 | ' |
Impairment of goodwill | 0 | ' |
NEPTCO | ' | ' |
Changes in the carrying value of goodwill | ' | ' |
Acquisition | -84,000 | 19,668,000 |
Capital Services | ' | ' |
Changes in the carrying value of goodwill | ' | ' |
Acquisition | ' | 87,000 |
Paper Tyger | ' | ' |
Changes in the carrying value of goodwill | ' | ' |
Acquisition | 141,000 | 68,000 |
Metronelec assets | ' | ' |
Changes in the carrying value of goodwill | ' | ' |
Acquisition | ' | 203,000 |
Construction Materials | ' | ' |
Changes in the carrying value of goodwill | ' | ' |
Balance at the beginning of the period | 10,740,000 | 10,661,000 |
Foreign currency translation adjustment | -5,000 | -8,000 |
Balance at the end of the period | 10,735,000 | 10,740,000 |
Construction Materials | Capital Services | ' | ' |
Changes in the carrying value of goodwill | ' | ' |
Acquisition | ' | 87,000 |
Industrial Materials | ' | ' |
Changes in the carrying value of goodwill | ' | ' |
Balance at the beginning of the period | 27,045,000 | 7,399,000 |
Foreign currency translation adjustment | -22,000 | -293,000 |
Balance at the end of the period | 27,080,000 | 27,045,000 |
Industrial Materials | NEPTCO | ' | ' |
Changes in the carrying value of goodwill | ' | ' |
Acquisition | -84,000 | 19,668,000 |
Industrial Materials | Paper Tyger | ' | ' |
Changes in the carrying value of goodwill | ' | ' |
Acquisition | 141,000 | 68,000 |
Industrial Materials | Metronelec assets | ' | ' |
Changes in the carrying value of goodwill | ' | ' |
Acquisition | ' | $203,000 |
Goodwill_and_Intangible_Assets3
Goodwill and Intangible Assets (Details 2) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Goodwill and Intangible Assets | ' | ' | ' |
Goodwill related to acquisitions | $37,904 | ' | ' |
Goodwill related to acquisitions that is deductible for income taxes | 1,635 | ' | ' |
Intangible assets | ' | ' | ' |
Gross Carrying Value | 49,335 | 49,210 | ' |
Accumulated Amortization | 17,554 | 12,847 | ' |
Net Carrying Value | 31,781 | 36,363 | ' |
Aggregate amortization expense | 4,793 | 2,710 | 2,309 |
Estimated amortization expense | ' | ' | ' |
2014 | 4,941 | ' | ' |
2015 | 4,748 | ' | ' |
2016 | 4,685 | ' | ' |
2017 | 4,248 | ' | ' |
2018 | 4,017 | ' | ' |
Net Carrying Value | 22,639 | ' | ' |
Patents and agreements | ' | ' | ' |
Intangible assets | ' | ' | ' |
Weighted-Average Amortization Period | '11 years 10 months 24 days | '12 years 1 month 6 days | ' |
Gross Carrying Value | 3,198 | 2,849 | ' |
Accumulated Amortization | 2,200 | 2,177 | ' |
Net Carrying Value | 998 | 672 | ' |
Formulas | ' | ' | ' |
Intangible assets | ' | ' | ' |
Weighted-Average Amortization Period | '9 years 1 month 6 days | '9 years 1 month 6 days | ' |
Gross Carrying Value | 5,772 | 5,791 | ' |
Accumulated Amortization | 2,238 | 1,683 | ' |
Net Carrying Value | 3,534 | 4,108 | ' |
Trade names | ' | ' | ' |
Intangible assets | ' | ' | ' |
Weighted-Average Amortization Period | '5 years 8 months 12 days | '5 years 8 months 12 days | ' |
Gross Carrying Value | 6,345 | 6,360 | ' |
Accumulated Amortization | 2,055 | 1,022 | ' |
Net Carrying Value | 4,290 | 5,338 | ' |
Customer lists and relationships | ' | ' | ' |
Intangible assets | ' | ' | ' |
Weighted-Average Amortization Period | '10 years 2 months 12 days | '10 years 2 months 12 days | ' |
Gross Carrying Value | 34,020 | 34,210 | ' |
Accumulated Amortization | 11,061 | 7,965 | ' |
Net Carrying Value | $22,959 | $26,245 | ' |
Cash_Surrender_Value_of_Life_I2
Cash Surrender Value of Life Insurance (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | ||
Cash Surrender Value of Life Insurance | ' | ' |
Loans related to life insurance policies | $5 | $5 |
Cash surrender value of life insurance | 7,278 | 7,145 |
John Hancock | ' | ' |
Cash Surrender Value of Life Insurance | ' | ' |
Cash surrender value of life insurance | 4,450 | 4,343 |
John Hancock (formerly Manufacturers' Life Insurance Company) | ' | ' |
Cash Surrender Value of Life Insurance | ' | ' |
Cash surrender value of life insurance | 1,009 | 954 |
Metropolitan Life Insurance | ' | ' |
Cash Surrender Value of Life Insurance | ' | ' |
Cash surrender value of life insurance | 1,739 | 1,768 |
Other life insurance carriers | ' | ' |
Cash Surrender Value of Life Insurance | ' | ' |
Cash surrender value of life insurance | $80 | $80 |
LongTerm_Debt_and_Notes_Payabl2
Long-Term Debt and Notes Payable (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 | Jun. 27, 2012 | Aug. 31, 2013 | Aug. 31, 2013 |
In Thousands, unless otherwise specified | Term note payable through June 27, 2017 | Term note payable through June 27, 2017 | Term note payable through June 27, 2017 | Term note payable through June 27, 2017 | Term note payable through June 27, 2017 | Term note payable through June 27, 2017 | Term note payable through June 27, 2017 | Term note payable through June 27, 2017 | Term note payable through June 27, 2017 | Term note payable through June 27, 2017 | Term note payable through June 27, 2017 | Term note payable through June 27, 2017 | Unsecured revolving credit facility | Unsecured revolving credit facility | Unsecured revolving credit facility | Unsecured revolving credit facility | ||
item | item | Minimum | Minimum | Maximum | Maximum | Through June 2014 | Through June 2014 | After June 2014 through June 2015 | After June 2014 through June 2015 | After June 2015 through March 2017 | After June 2015 through March 2017 | NEPTCO | NEPTCO | NEPTCO | NEPTCO | |||
Minimum | Maximum | |||||||||||||||||
Long-term debt and notes payable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt | $64,400 | $70,000 | $64,400 | $70,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Less portion payable within one year classified as current | -5,600 | -5,600 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt, less current portion | 58,800 | 64,400 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of quarterly installments | ' | ' | 19 | 19 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Quarterly payments | ' | ' | ' | ' | ' | ' | ' | ' | 1,400 | 1,400 | 1,750 | 1,750 | 2,100 | 2,100 | ' | ' | ' | ' |
Variable rate basis | ' | ' | 'LIBOR rate | 'LIBOR rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'LIBOR rate | ' | ' | ' |
Interest rate margin on variable rate basis (as a percent) | ' | ' | ' | ' | 1.75% | 1.75% | 2.25% | 2.25% | ' | ' | ' | ' | ' | ' | ' | ' | 1.75% | 2.25% |
Effective interest rate (as a percent) | ' | ' | 1.93% | 1.93% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15,000 | ' | ' |
Remaining borrowing capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $15,000 | ' | ' | ' |
Ratio of consolidated indebtedness to consolidated EBITDA | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3 |
Consolidated fixed charge coverage ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.25 | ' |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 12 Months Ended | ||
Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | |
Domestic and foreign pre-tax income | ' | ' | ' |
United States | $23,562,000 | $12,767,000 | $14,419,000 |
Foreign | 2,248,000 | 1,229,000 | 1,754,000 |
Income before income taxes | 25,810,000 | 13,996,000 | 16,173,000 |
Current: | ' | ' | ' |
Federal | 8,112,000 | 5,073,000 | 4,536,000 |
State | 1,652,000 | 392,000 | 210,000 |
Foreign | 1,043,000 | 287,000 | 1,039,000 |
Total current income tax provision | 10,807,000 | 5,752,000 | 5,785,000 |
Deferred: | ' | ' | ' |
Federal | -1,302,000 | -860,000 | -47,000 |
State | -92,000 | -150,000 | 2,000 |
Foreign | -343,000 | -10,000 | -498,000 |
Total deferred income tax provision (benefit) | -1,737,000 | -1,020,000 | -543,000 |
Total income tax provision | $9,070,000 | $4,732,000 | $5,242,000 |
Reconciliation of the effective income tax rate on continuing operations with the U.S. federal statutory income tax rate | ' | ' | ' |
Federal statutory rates (as a percent) | 35.00% | 35.00% | 35.00% |
Adjustment resulting from the tax effect of: | ' | ' | ' |
State and local taxes, net of federal benefit (as a percent) | 3.80% | 1.10% | 1.10% |
Domestic production deduction (as a percent) | -3.30% | -3.50% | -3.00% |
Foreign tax rate differential (as a percent) | -0.70% | -0.60% | -0.70% |
Adjustment to uncertain tax position (as a percent) | -1.10% | -1.30% | ' |
Transaction costs not deductible (as a percent) | ' | 2.60% | ' |
Research credit generated (as a percent) | -1.20% | -0.80% | -0.70% |
Noncontrolling partnership interest (as a percent) | 0.60% | ' | ' |
Tax effect of undistributed earnings (as a percent) | 0.60% | 0.10% | 0.30% |
Other (as a percent) | 1.40% | 1.20% | 0.40% |
Effective income tax rate (as a percent) | 35.10% | 33.80% | 32.40% |
Income_Taxes_Details_2
Income Taxes (Details 2) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Income Taxes | ' | ' | ' |
Current income tax provision | $10,807 | $5,752 | $5,785 |
Deferred provision (benefit): | ' | ' | ' |
Allowance for doubtful accounts | -15 | -39 | 9 |
Inventories | -259 | -640 | -248 |
Pension expense | -207 | 446 | 210 |
Deferred compensation | -51 | -70 | -15 |
Loan finance costs | 66 | -116 | ' |
Accruals | 861 | -177 | -56 |
Warranty reserve | ' | -56 | -6 |
Depreciation and amortization | -1,836 | -701 | 66 |
Restricted stock grant | -102 | -74 | -391 |
Unrepatriated earnings | 1,572 | -133 | 1,137 |
Foreign taxes net of unrepatriated earnings | -1,425 | 497 | -1,086 |
Foreign amortization | -105 | -134 | -112 |
Other accrued expenses | -236 | 177 | -51 |
Total deferred income tax provision (benefit) | -1,737 | -1,020 | -543 |
Total income tax provision | $9,070 | $4,732 | $5,242 |
Income_Taxes_Details_3
Income Taxes (Details 3) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Deferred tax assets: | ' | ' | ' |
Allowance for doubtful accounts | $330 | $314 | ' |
Inventories | 1,291 | 1,032 | ' |
Accruals | 504 | 858 | ' |
Warranty reserve | 82 | 82 | ' |
Current deferred tax assets | 2,207 | 2,286 | ' |
Deferred tax liabilities: | ' | ' | ' |
Prepaid liabilities | -92 | -78 | ' |
Current deferred tax liabilities | -92 | -78 | ' |
Current deferred tax assets, net | 2,115 | 2,208 | ' |
Deferred tax assets: | ' | ' | ' |
Pension accrual | 2,162 | 2,138 | ' |
Deferred compensation | 775 | 724 | ' |
Loan finance costs | 50 | 116 | ' |
Unrealized gain/loss on restricted investments | -23 | -4 | ' |
Restricted stock grants | 1,122 | 1,029 | ' |
Non qualified stock options | 16 | 16 | ' |
Foreign tax credits | 6,326 | 4,901 | ' |
Foreign other | 256 | 39 | ' |
Other | ' | 331 | ' |
Noncurrent deferred tax assets | 10,684 | 9,290 | ' |
Deferred tax liabilities: | ' | ' | ' |
Unrepatriated earnings | -6,515 | -4,901 | ' |
Foreign intangibles | 118 | 18 | ' |
Depreciation and amortization | -13,780 | -15,350 | ' |
Other | 26 | ' | ' |
Noncurrent deferred tax liabilities | -20,151 | -20,233 | ' |
Noncurrent deferred tax liabilities, net | -9,467 | -10,943 | ' |
Net deferred tax liabilities | -7,352 | -8,735 | ' |
Adjustments to uncertain tax positions | ' | ' | ' |
Balance, at beginning of the year | 1,180 | 893 | 887 |
Increase for tax positions related to the current year | 17 | 19 | 50 |
Increase / (decrease) for tax positions related to prior years | 73 | -176 | -44 |
Increase for amounts recorded in acquisition accounting | ' | 465 | ' |
Decrease for settlements with applicable taxing authorities | ' | -21 | ' |
Decrease for lapses of statute of limitations | -370 | ' | ' |
Balance, at end of year | 900 | 1,180 | 893 |
Accrued balances related to uncertain tax positions | ' | ' | ' |
Accrued interest and penalty | 410 | ' | ' |
Increase in accrued interest and penalty charges recorded as tax benefit | $10 | ' | ' |
Capital_and_Operating_Leases_D
Capital and Operating Leases (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Present value of future minimum capital lease payments | ' | ' | ' |
2014 | $17 | ' | ' |
2015 | 16 | ' | ' |
2016 | 7 | ' | ' |
Total future minimum lease payments | 40 | ' | ' |
Less: interest (at rates ranging from 4% to 8%) | -4 | ' | ' |
Present value of future minimum capital lease payments | 36 | ' | ' |
Less: current portion | -14 | ' | ' |
Non-current portion of capital lease | 22 | ' | ' |
Future minimum payments due under operating leases | ' | ' | ' |
2014 | 856 | ' | ' |
2015 | 705 | ' | ' |
2016 | 674 | ' | ' |
2017 | 659 | ' | ' |
2018 | 644 | ' | ' |
2019 and thereafter | 3,706 | ' | ' |
Total future minimum lease payments | 7,244 | ' | ' |
Operating Leases | ' | ' | ' |
Rental expense | $1,761 | $1,178 | $1,103 |
Benefits_and_Pension_Plans_Det
Benefits and Pension Plans (Details) (USD $) | 12 Months Ended | ||
Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | |
401(k) Plan | ' | ' | ' |
Eligibility age for defined contribution plan | '21 years | ' | ' |
Minimum eligibility service period | '6 months | ' | ' |
Employer match of employee contributions of first percent of eligible compensation (as a percent) | 100.00% | ' | ' |
Percentage of eligible compensation, matched 100% by employer | 1.00% | ' | ' |
Employer match of employee contributions after the first percent of eligible compensation (as a percent) | 50.00% | ' | ' |
Maximum percentage of employee's annual salary, matched by employer | 3.50% | ' | ' |
Contribution expense | $351,000 | $294,000 | $297,000 |
Non-Qualified Deferred Savings Plan | ' | ' | ' |
Recorded liability for Board of Directors and selected employees savings plan | 1,094,000 | 874,000 | ' |
NEPTCO | ' | ' | ' |
401(k) Plan | ' | ' | ' |
Number of 401(k) savings plans | 2 | ' | ' |
Maximum | NEPTCO | ' | ' | ' |
401(k) Plan | ' | ' | ' |
Percent of annual compensation participants may defer | 10.00% | ' | ' |
Minimum | NEPTCO | ' | ' | ' |
401(k) Plan | ' | ' | ' |
Percent of annual compensation participants may defer | 1.00% | ' | ' |
Union Employees | NEPTCO | ' | ' | ' |
401(k) Plan | ' | ' | ' |
Number of 401(k) savings plans | 1 | ' | ' |
Amount for each $1.00 of participant deferrals the company may contribute | 0.5 | ' | ' |
Base amount of participant deferrals for company contributions | 1 | ' | ' |
Percent of participant's compensation | 3.00% | ' | ' |
Non-union Employees | NEPTCO | ' | ' | ' |
401(k) Plan | ' | ' | ' |
Number of 401(k) savings plans | 1 | ' | ' |
Amount for each $1.00 of participant deferrals the company may contribute | 0.75 | ' | ' |
Base amount of participant deferrals for company contributions | $1 | ' | ' |
Percent of participant's compensation | 3.00% | ' | ' |
Benefits_and_Pension_Plans_Det1
Benefits and Pension Plans (Details 2) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Change in benefit obligation | ' | ' | ' |
Projected benefit obligation at beginning of year | $17,322 | $13,953 | $12,044 |
Acquired benefit obligation for Neptco pension plan | ' | 1,806 | ' |
Service cost | 352 | 482 | 526 |
Interest cost | 503 | 532 | 430 |
Actuarial (gain) loss | 1,019 | 1,908 | 1,013 |
Curtailments | 24 | ' | ' |
Settlements | -3,443 | -1,316 | ' |
Benefits paid | -126 | -43 | -60 |
Projected benefit obligation at end of year | 15,651 | 17,322 | 13,953 |
Change in plan assets | ' | ' | ' |
Fair value of plan assets at beginning of year | 9,405 | 7,235 | 6,022 |
Fair value of Neptco pension plan assets | ' | 884 | ' |
Actual return on plan assets | 690 | 752 | 519 |
Employer contribution | 2,300 | 1,893 | 754 |
Settlements | -3,443 | -1,316 | ' |
Benefits paid | -126 | -43 | -60 |
Fair value of plan assets at end of year | 8,826 | 9,405 | 7,235 |
Funded status | ' | ' | ' |
Funded status at end of year | -6,825 | -7,917 | -6,718 |
Amounts recognized in consolidated balance sheets | ' | ' | ' |
Non-current assets | 1,014 | ' | ' |
Current liabilities | -5 | -215 | -5 |
Non-current liabilities | -7,834 | -7,702 | -6,713 |
Net amounts recognized in Consolidated Balance Sheets | -6,825 | -7,917 | -6,718 |
Actuarial present value of benefit obligation and funded status | ' | ' | ' |
Accumulated benefit obligation | 13,842 | 14,735 | 11,954 |
Projected benefit obligation | 15,651 | 17,322 | 13,953 |
Plan assets at fair value | 8,826 | 9,405 | 7,235 |
Amounts recognized in accumulated other comprehensive Income | ' | ' | ' |
Prior service cost | 67 | 82 | 156 |
Net actuarial loss | 5,561 | 6,029 | 5,164 |
Adjustment to pre-tax accumulated other comprehensive income | 5,628 | 6,111 | 5,320 |
Other changes in plan assets and benefit obligations recognized in other comprehensive income | ' | ' | ' |
Net (gain) or loss | 979 | 1,691 | 934 |
Amortization of loss | -250 | -276 | -239 |
Amortization of prior service cost | -13 | -74 | -74 |
Effect of settlement on accumulated other comprehensive income | -1,198 | -550 | ' |
Total recognized in other comprehensive income | -482 | 791 | 621 |
Net periodic pension cost | 1,690 | 1,378 | 829 |
Total recognized in net periodic pension cost and other comprehensive income | 1,208 | 2,169 | 1,450 |
Estimated amounts that will be amortized from accumulated comprehensive income over the next fiscal year | ' | ' | ' |
Prior service cost | 3 | 14 | 74 |
Net actuarial loss or (gain) | 293 | 337 | 276 |
Components of net periodic benefit cost | ' | ' | ' |
Service cost | 352 | 482 | 526 |
Interest cost | 503 | 532 | 430 |
Expected return on plan assets | -651 | -536 | -440 |
Amortization of prior service cost | 13 | 74 | 74 |
Amortization of accumulated (gain)/loss | 250 | 276 | 239 |
Settlement and curtailment (gain)/loss | 1,223 | 550 | ' |
Net periodic benefit cost | $1,690 | $1,378 | $829 |
NEPTCO | Union Employees | ' | ' | ' |
Benefits and pension plans | ' | ' | ' |
Period before retirement for determination of employee's average compensation | '5 years | ' | ' |
Benefits_and_Pension_Plans_Det2
Benefits and Pension Plans (Details 3) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Weighted-average assumptions used to determine benefit obligations | ' | ' | ' |
Rate of compensation increase (as a percent) | 3.50% | 3.50% | 3.50% |
Weighted-average assumptions used to determine net periodic benefit cost | ' | ' | ' |
Rate of compensation increase (as a percent) | 3.50% | 3.50% | 3.50% |
Reduction in discount rate used to estimate additional net periodic pension cost (as a percent) | 1.00% | ' | ' |
Reduction in expected return on plan assets used to estimate the increase in net periodic pension cost (as a percent) | 1.00% | ' | ' |
Qualified Plan | ' | ' | ' |
Weighted-average assumptions used to determine benefit obligations | ' | ' | ' |
Discount rate (as a percent) | 4.54% | 3.40% | 4.73% |
Weighted-average assumptions used to determine net periodic benefit cost | ' | ' | ' |
Discount rate (as a percent) | 3.40% | 4.73% | 4.45% |
Expected long term return on plan assets (as a percent) | 8.00% | 8.00% | 8.00% |
Additional net periodic pension cost from each 100 basis point reduction in the discount rate | 73 | ' | ' |
Additional net periodic pension cost from each 100 basis point reduction in the expected return on plan assets | 76 | ' | ' |
Supplemental plan | ' | ' | ' |
Weighted-average assumptions used to determine benefit obligations | ' | ' | ' |
Discount rate (as a percent) | 3.76% | 3.14% | 3.00% |
Weighted-average assumptions used to determine net periodic benefit cost | ' | ' | ' |
Discount rate (as a percent) | 3.14% | 3.00% | 2.51% |
Expected long term return on plan assets (as a percent) | 0.00% | 0.00% | 0.00% |
Additional net periodic pension cost from each 100 basis point reduction in the discount rate | 29 | ' | ' |
Neptco plan | ' | ' | ' |
Weighted-average assumptions used to determine benefit obligations | ' | ' | ' |
Discount rate (as a percent) | 4.63% | 3.77% | ' |
Rate of compensation increase (as a percent) | 0.00% | 0.00% | ' |
Weighted-average assumptions used to determine net periodic benefit cost | ' | ' | ' |
Discount rate (as a percent) | 3.77% | 4.08% | ' |
Expected long term return on plan assets (as a percent) | 8.00% | 8.00% | ' |
Rate of compensation increase (as a percent) | 0.00% | 0.00% | ' |
Benefits_and_Pension_Plans_Det3
Benefits and Pension Plans (Details 4) | 12 Months Ended | ||
Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | |
Qualified Plan | ' | ' | ' |
Target allocation and weighted-average asset allocations | ' | ' | ' |
Total target allocation (as a percent) | 100.00% | 100.00% | 100.00% |
Percentage of Plan Assets | 100.00% | 100.00% | 100.00% |
Expected long term return on plan assets (as a percent) | 8.00% | 8.00% | 8.00% |
Neptco plan | ' | ' | ' |
Target allocation and weighted-average asset allocations | ' | ' | ' |
Total target allocation (as a percent) | 100.00% | 100.00% | ' |
Percentage of Plan Assets | 100.00% | 100.00% | ' |
Expected long term return on plan assets (as a percent) | 8.00% | 8.00% | ' |
Equity securities | Qualified Plan | ' | ' | ' |
Target allocation and weighted-average asset allocations | ' | ' | ' |
Target Allocation Range, minimum (as a percent) | 40.00% | 40.00% | 40.00% |
Target Allocation Range, maximum (as a percent) | 70.00% | 70.00% | 70.00% |
Percentage of Plan Assets | 56.00% | 54.00% | 53.00% |
Equity securities | Neptco plan | ' | ' | ' |
Target allocation and weighted-average asset allocations | ' | ' | ' |
Target Allocation Range, minimum (as a percent) | 20.00% | 20.00% | ' |
Target Allocation Range, maximum (as a percent) | 65.00% | 65.00% | ' |
Percentage of Plan Assets | 56.00% | 50.00% | ' |
Debt securities | Qualified Plan | ' | ' | ' |
Target allocation and weighted-average asset allocations | ' | ' | ' |
Target Allocation Range, minimum (as a percent) | 20.00% | 20.00% | 20.00% |
Target Allocation Range, maximum (as a percent) | 50.00% | 50.00% | 50.00% |
Percentage of Plan Assets | 40.00% | 39.00% | 42.00% |
Debt securities | Neptco plan | ' | ' | ' |
Target allocation and weighted-average asset allocations | ' | ' | ' |
Target Allocation Range, minimum (as a percent) | 35.00% | 35.00% | ' |
Target Allocation Range, maximum (as a percent) | 80.00% | 80.00% | ' |
Percentage of Plan Assets | 44.00% | 50.00% | ' |
Real estate | Qualified Plan | ' | ' | ' |
Target allocation and weighted-average asset allocations | ' | ' | ' |
Target Allocation Range, minimum (as a percent) | 0.00% | 0.00% | 0.00% |
Target Allocation Range, maximum (as a percent) | 15.00% | 15.00% | 15.00% |
Percentage of Plan Assets | 4.00% | 5.00% | 5.00% |
Other | Qualified Plan | ' | ' | ' |
Target allocation and weighted-average asset allocations | ' | ' | ' |
Target Allocation Range, minimum (as a percent) | 0.00% | 0.00% | 0.00% |
Target Allocation Range, maximum (as a percent) | 10.00% | 10.00% | 10.00% |
Percentage of Plan Assets | 0.00% | 2.00% | 0.00% |
Benefits_and_Pension_Plans_Det4
Benefits and Pension Plans (Details 5) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2010 |
In Thousands, unless otherwise specified | ||||
Benefits and pension plans | ' | ' | ' | ' |
Fair value of plan assets | $8,826 | $9,405 | $7,235 | $6,022 |
Total | ' | ' | ' | ' |
Benefits and pension plans | ' | ' | ' | ' |
Fair value of plan assets | 8,826 | 9,405 | ' | ' |
Total | Equity securities | ' | ' | ' | ' |
Benefits and pension plans | ' | ' | ' | ' |
Fair value of plan assets | 4,939 | 5,240 | ' | ' |
Total | Debt securities | ' | ' | ' | ' |
Benefits and pension plans | ' | ' | ' | ' |
Fair value of plan assets | 3,553 | 3,745 | ' | ' |
Total | Real estate | ' | ' | ' | ' |
Benefits and pension plans | ' | ' | ' | ' |
Fair value of plan assets | 334 | 420 | ' | ' |
Quoted prices in active markets (Level 1) | ' | ' | ' | ' |
Benefits and pension plans | ' | ' | ' | ' |
Fair value of plan assets | 6,851 | 7,604 | ' | ' |
Quoted prices in active markets (Level 1) | Equity securities | ' | ' | ' | ' |
Benefits and pension plans | ' | ' | ' | ' |
Fair value of plan assets | 4,056 | 4,567 | ' | ' |
Quoted prices in active markets (Level 1) | Debt securities | ' | ' | ' | ' |
Benefits and pension plans | ' | ' | ' | ' |
Fair value of plan assets | 2,795 | 3,037 | ' | ' |
Significant other observable inputs (Level 2) | ' | ' | ' | ' |
Benefits and pension plans | ' | ' | ' | ' |
Fair value of plan assets | 1,975 | 1,801 | ' | ' |
Significant other observable inputs (Level 2) | Equity securities | ' | ' | ' | ' |
Benefits and pension plans | ' | ' | ' | ' |
Fair value of plan assets | 883 | 673 | ' | ' |
Significant other observable inputs (Level 2) | Debt securities | ' | ' | ' | ' |
Benefits and pension plans | ' | ' | ' | ' |
Fair value of plan assets | 758 | 708 | ' | ' |
Significant other observable inputs (Level 2) | Real estate | ' | ' | ' | ' |
Benefits and pension plans | ' | ' | ' | ' |
Fair value of plan assets | $334 | $420 | ' | ' |
Benefits_and_Pension_Plans_Det5
Benefits and Pension Plans (Details 6) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Estimated future pension benefit payments | ' | ' | ' |
2014 | $7,667 | ' | ' |
2015 | 262 | ' | ' |
2016 | 277 | ' | ' |
2017 | 357 | ' | ' |
2018 | 771 | ' | ' |
2019-2023 | 2,820 | ' | ' |
Employer contribution | $2,300 | $1,893 | $754 |
Stockholders_Equity_Details
Stockholders' Equity (Details) (USD $) | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 24 Months Ended | 1 Months Ended | 12 Months Ended | 24 Months Ended | 1 Months Ended | 0 Months Ended | |||||||||||||||||||||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2011 | Dec. 31, 2009 | Dec. 31, 2009 | Feb. 29, 2012 | Feb. 28, 2011 | Jan. 31, 2010 | Sep. 30, 2009 | Sep. 30, 2008 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2010 | Mar. 31, 2012 | Sep. 30, 2011 | Apr. 30, 2011 | Oct. 31, 2012 | Aug. 31, 2013 | Nov. 30, 2005 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2013 | Oct. 31, 2002 | Oct. 31, 2002 | Aug. 31, 2012 | Sep. 30, 2010 | Aug. 31, 2012 | Aug. 31, 2012 | Sep. 30, 2010 | Sep. 30, 2011 | Aug. 31, 2013 | Aug. 31, 2013 | Sep. 30, 2011 | Oct. 22, 2012 | Oct. 22, 2012 | Oct. 22, 2012 |
Restricted stock | Restricted stock | Restricted stock | Restricted stock | Restricted stock | Restricted stock | Performance and service based restricted stock | Performance and service based restricted stock | Performance and service based restricted stock | Performance and service based restricted stock | Performance and service based restricted stock | Time-based restricted stock | Time-based restricted stock | Time-based restricted stock | 2013 Plan | 2005 Incentive Plan | 2005 Incentive Plan | 2001 Senior Management Stock Plan and 2001 Non-Employee Director Stock Option Plan | 2001 Senior Management Stock Plan and 2001 Non-Employee Director Stock Option Plan | 2001 Senior Management Stock Plan and 2001 Non-Employee Director Stock Option Plan | 2001 Senior Management Stock Plan | 2001 Non-Employee Director Stock Option Plan | 2001 Non-Employee Director Stock Option Plan | 2011 LTIP | 2011 LTIP | 2011 LTIP | 2011 LTIP | 2012 LTIP | 2012 LTIP | 2012 LTIP | 2012 LTIP | 2013 LTIP | 2013 LTIP | 2013 LTIP | |
Non-executive officer employees | Retired executive officer | Retired executive officer | Non-employee directors | Non-employee directors | Non-employee directors | Executive officers and other members of management | Executive officers and other members of management | Executive officers and other members of management | Executive officers and other members of management | Executive officers and other members of management | Non-executive officer employees | Non-executive officer employees | Non-executive officer employees | Options | Options | Options | Restricted stock | Performance and service based restricted stock | Performance and service based restricted stock | Performance and service based restricted stock | Time-based restricted stock | Performance and service based restricted stock | Performance and service based restricted stock | Performance and service based restricted stock | Time-based restricted stock | Performance and service based restricted stock | Time-based restricted stock | Time-based restricted stock | ||||||
September 2008 grants | September 2009 grants | Minimum | Maximum | Executive officers | Executive officers | Executive officers | Executive officers | Executive officers | Executive officers | Executive officers | Executive officers | Executive officers and other members of management | Executive officers and other members of management | Executive officers and other members of management | ||||||||||||||||||||
August 31, 2013 vesting date | August 31, 2015 vesting date | |||||||||||||||||||||||||||||||||
Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares authorized | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,200,000 | 77,174 | 1,000,000 | ' | ' | ' | 1,500,000 | 180,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vesting period | ' | ' | ' | '12 months | '12 months | '12 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | '5 years | ' | ' | '1 year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expiration term | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares granted | ' | ' | ' | 10,085 | 11,031 | 11,092 | 76,874 | 50,657 | ' | 68,453 | ' | 1,368 | 5,037 | 4,249 | ' | ' | ' | ' | ' | ' | ' | ' | 7,706 | 32,835 | 32,835 | 65,670 | 16,417 | 33,798 | 33,798 | 67,596 | 16,899 | 11,861 | ' | ' |
Shares forfeited | 1,887 | 2,377 | 8,421 | ' | ' | ' | ' | ' | ' | ' | 15,944 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,931 | 16,505 |
Adjusted shares | ' | ' | ' | ' | ' | ' | ' | ' | 145,327 | 34,713 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Value of common stock received as part of annual retainer | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $144 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stockholders_Equity_Details_2
Stockholders' Equity (Details 2) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 0 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | ||||||||||||||||||||
In Thousands, except Share data, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2009 | Aug. 31, 2009 | Aug. 31, 2009 | Sep. 30, 2010 | Aug. 31, 2011 | Sep. 30, 2011 | Aug. 31, 2012 | Apr. 30, 2012 | Mar. 31, 2012 | Aug. 31, 2011 | Apr. 30, 2011 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Oct. 31, 2012 |
Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | Stock options | ||||
$11.15 | $12.70 | $12.77 | $14.62 | $16.00 | $16.53 | Chief executive officer | President | Chief financial officer | Executive officers | Executive officers | Executive officers | Executive officers | Non-executive officer employees | Non-executive officer employees | Non-executive officer employees | Non-executive officer employees | Non-executive officer employees | Non-employee directors | Officers and employees | Officers and employees | Officers and employees | Executive officers and other members of management | |||||||
2011 LTIP | 2011 LTIP | 2012 LTIP | 2012 LTIP | item | item | item | 2013 LTIP | ||||||||||||||||||||||
item | item | item | |||||||||||||||||||||||||||
Stockholders' Equity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Vesting period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '4 years | '4 years | '4 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expiration term | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years | '10 years | '10 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of equal annual allotments in which options will vest beginning from the end of the fiscal year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3 | ' | 3 | 3 | 3 | ' | ' | 3 | ' | ' | ' | ' | 3 |
Options Outstanding | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number Outstanding (in shares) | ' | ' | ' | 552,804 | ' | ' | 106,250 | 62,425 | 76,792 | 6,630 | 43,964 | 256,743 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted Avg. Remaining Contractual Life | ' | ' | ' | '6 years 2 months 12 days | ' | ' | '6 years | '7 years | '8 years | '8 years 6 months | '9 years 1 month 6 days | '4 years 10 months 24 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted Average Exercise Price (in dollars per share) | ' | ' | ' | $14.48 | ' | ' | $11.15 | $12.70 | $12.77 | $14.62 | $16 | $16.53 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate Intrinsic Value (in dollars) | ' | ' | ' | $8,427 | ' | ' | $1,973 | $1,063 | $1,302 | $100 | $603 | $3,386 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options Exercisable | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number Exercisable (in shares) | ' | ' | ' | 489,463 | ' | ' | 106,250 | 62,425 | 49,999 | 2,210 | 14,653 | 253,926 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 489,463 | ' | ' | ' |
Weighted Average Exercise Price (in dollars per share) | ' | ' | ' | $14.47 | ' | ' | $11.15 | $12.70 | $12.77 | $14.62 | $16 | $16.53 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $14.47 | ' | ' | ' |
Aggregate Intrinsic Value (in dollars) | ' | ' | ' | 7,467 | ' | ' | 1,973 | 1,063 | 848 | 33 | 201 | 3,349 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options outstanding | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options outstanding at the beginning of the period (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,500 | 557,882 | 477,626 | 471,000 | ' |
Granted (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 75,000 | 50,000 | 25,000 | 62,425 | ' | 59,493 | ' | ' | 6,630 | 20,883 | 15,201 | ' | ' | 43,964 | 87,006 | 77,626 | 43,964 |
Exercised (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -2,500 | -49,042 | ' | -71,000 | ' |
Forfeited or cancelled (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -6,750 | ' | ' |
Options outstanding at the end of the period (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 552,804 | 557,882 | 477,626 | ' |
Weighted Average Exercise Price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options outstanding at the beginning of the period (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $12.70 | $12.70 | $12.77 | $12.77 | ' | ' | ' | ' | $12.77 | $5.25 | $14.23 | $14.34 | $13.12 | ' |
Granted (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $16 | $12.91 | $13.45 | ' |
Exercised (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $5.25 | $11.46 | ' | $5.25 | ' |
Forfeited or cancelled (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $16.53 | ' | ' |
Options outstanding at the end of the period (in dollars per share) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $11.15 | $11.15 | $11.15 | ' | ' | ' | ' | ' | $14.62 | $12.77 | $16.53 | ' | ' | $14.48 | $14.23 | $14.34 | $16 |
Additional disclosures | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average grant date fair value of options granted (in dollars per share) | ' | ' | ' | $4.23 | $3.12 | $3.59 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total pretax intrinsic value of stock options exercised (in dollars) | ' | ' | ' | 678 | ' | 844 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock available for future issuance (in shares) | ' | ' | ' | 1,277,174 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Tax (expense) / benefit realized from stock options exercised, vesting of restricted stock and issuance of stock pursuant to grants of restricted stock units (in dollars) | 621 | 209 | -37 | 622 | 209 | -37 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unrecognized expense related to all stock-based compensation (in dollars) | ' | ' | ' | $941 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period over which unrecognized expense related to all stock based compensation will be recognized | ' | ' | ' | '2 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment_Data_Details
Segment Data (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
item | |||
Segment Data | ' | ' | ' |
Number of reportable segments | 2 | ' | ' |
Segment data | ' | ' | ' |
Revenues | $216,062 | $148,919 | $123,040 |
Income before taxes | 25,810 | 13,996 | 16,173 |
Total assets | 224,360 | 214,832 | ' |
Reportable segments | ' | ' | ' |
Segment data | ' | ' | ' |
Income before taxes | 32,863 | 22,556 | 21,302 |
Total assets | 181,683 | 188,831 | ' |
Industrial Materials | ' | ' | ' |
Segment data | ' | ' | ' |
Revenues | 163,474 | 95,988 | 75,744 |
Income before taxes | 26,400 | 17,643 | 16,850 |
Total assets | 133,110 | 135,322 | ' |
Construction Materials | ' | ' | ' |
Segment data | ' | ' | ' |
Revenues | 52,588 | 52,931 | 47,296 |
Income before taxes | 6,463 | 4,913 | 4,452 |
Total assets | 48,573 | 53,509 | ' |
Corporate and common costs | ' | ' | ' |
Segment data | ' | ' | ' |
Income before taxes | -7,053 | -8,560 | -5,129 |
Total assets | $42,677 | $26,001 | ' |
Export_Sales_and_Foreign_Opera1
Export Sales and Foreign Operations (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Export Sales and Foreign Operations | ' | ' | ' |
Export sales | $22,827 | $21,204 | $19,715 |
Concentration risk | ' | ' | ' |
Long-lived assets | 45,192 | 49,279 | ' |
United Kingdom | ' | ' | ' |
Concentration risk | ' | ' | ' |
Goodwill and intangible assets | 10,333 | 11,652 | ' |
Revenues | Geographic concentration risk | United Kingdom | ' | ' | ' |
Concentration risk | ' | ' | ' |
Percentage of concentration risk | 7.00% | 12.00% | 12.00% |
Long-lived assets | Geographic concentration risk | United Kingdom | ' | ' | ' |
Concentration risk | ' | ' | ' |
Long-lived assets | $4,063 | $4,488 | ' |
Supplemental_Cash_Flow_Data_De
Supplemental Cash Flow Data (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Supplemental Cash Flow Data | ' | ' | ' |
Income taxes paid | $9,913 | $5,561 | $7,465 |
Interest paid | 1,545 | 352 | 276 |
Non-cash Investing and Financing Activities | ' | ' | ' |
Common stock received for payment of stock option exercises | 488 | ' | 386 |
Property, plant & equipment additions included in accounts payable | 112 | 117 | 329 |
NEPTCO | ' | ' | ' |
Acquisition of certain assets | ' | ' | ' |
Current assets (excluding cash) | ' | 24,948 | ' |
Property and equipment | ' | 18,657 | ' |
Goodwill | ' | 19,668 | ' |
Intangible assets | ' | 23,165 | ' |
Accounts payable and accrued liabilities | ' | -10,841 | ' |
Long term liabilities | ' | -736 | ' |
Deferred tax liabilities | ' | -11,051 | ' |
Minority interest of joint venture partner | ' | -1,593 | ' |
Cash provided through operating cash and increase in debt | ' | ($62,217) | ' |
Acquisitions_Details
Acquisitions (Details) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | ||||||
In Thousands, unless otherwise specified | Aug. 31, 2012 | Aug. 31, 2013 | Jun. 30, 2012 | Aug. 31, 2012 | Jun. 27, 2012 | Aug. 31, 2012 | Aug. 31, 2012 | Aug. 31, 2012 | Aug. 31, 2012 |
NEPTCO | NEPTCO | NEPTCO | NEPTCO | NEPTCO | NEPTCO | NEPTCO | |||
Term loan | United States | China | Joint venture | ||||||
item | item | ||||||||
Acquisitions | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of capital stock acquired | ' | ' | ' | 100.00% | ' | ' | ' | ' | ' |
Number of manufacturing facilities which the acquiree operates | ' | ' | ' | ' | ' | ' | 3 | 1 | ' |
Percentage of ownership stake acquired as part of acquisition | ' | ' | 50.00% | ' | ' | ' | ' | ' | 50.00% |
Term of debt | ' | ' | ' | ' | ' | '5 years | ' | ' | ' |
Acquisition related costs | $3,206 | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase price allocated to the acquired tangible and identifiable intangible assets and liabilities assumed based on their fair values | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Current assets (net of cash acquired) | ' | ' | ' | ' | 24,948 | ' | ' | ' | ' |
Property, plant & equipment | ' | ' | ' | ' | 18,657 | ' | ' | ' | ' |
Goodwill | ' | 37,904 | ' | ' | 19,668 | ' | ' | ' | ' |
Intangible assets | ' | ' | ' | ' | 23,165 | ' | ' | ' | ' |
Accounts payable and accrued expenses | ' | ' | ' | ' | -10,841 | ' | ' | ' | ' |
Long term liabilities | ' | ' | ' | ' | -736 | ' | ' | ' | ' |
Deferred tax liabilities | ' | ' | ' | ' | -11,051 | ' | ' | ' | ' |
Minority interest of joint venture partner | ' | ' | ' | ' | -1,593 | ' | ' | ' | ' |
Total purchase price | ' | ' | ' | ' | $62,217 | ' | ' | ' | ' |
Acquisitions_Details_2
Acquisitions (Details 2) (USD $) | 3 Months Ended | 12 Months Ended | 2 Months Ended | 0 Months Ended | |||||||
In Thousands, except Per Share data, unless otherwise specified | Aug. 31, 2012 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2012 | Jun. 27, 2012 | Jun. 27, 2012 | Jun. 27, 2012 | Jun. 27, 2012 | Jun. 27, 2012 | Jun. 27, 2012 |
NEPTCO | NEPTCO | NEPTCO | NEPTCO | NEPTCO | NEPTCO | NEPTCO | |||||
Customer Relationships | Trade names | Technology | Backlog | Prepaid patent costs | |||||||
Acquisitions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total intangible assets | ' | ' | ' | ' | ' | $23,165 | $15,330 | $4,988 | $2,267 | $20 | $560 |
Useful life | ' | ' | ' | ' | ' | ' | '10 years | '6 years | '8 years | '4 months | '10 years |
Pro forma information | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenue since acquisition date | ' | ' | ' | ' | 14,826 | ' | ' | ' | ' | ' | ' |
Net loss since acquisition date | ' | ' | ' | ' | -204 | ' | ' | ' | ' | ' | ' |
Statutory tax rate (as a percent) | ' | 35.00% | 35.00% | 35.00% | 38.00% | ' | ' | ' | ' | ' | ' |
Revenues | 58,900 | ' | 226,254 | ' | ' | ' | ' | ' | ' | ' | ' |
Net loss attributable to the Company | ($3,590) | ' | ($11,779) | ' | ' | ' | ' | ' | ' | ' | ' |
Net income attributable to the Company available to common shareholders, per common and common equivalent share | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basic (in dollars per share) | $0.40 | ' | $1.30 | ' | ' | ' | ' | ' | ' | ' | ' |
Diluted (in dollars per share) | $0.40 | ' | $1.30 | ' | ' | ' | ' | ' | ' | ' | ' |
Joint_Venture_Details
Joint Venture (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 | Aug. 31, 2010 | Jun. 27, 2012 | Aug. 31, 2013 | Aug. 31, 2012 | Jun. 30, 2012 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 |
In Thousands, unless otherwise specified | JV | JV | JV | NEPTCO | NEPTCO | NEPTCO | NEPTCO | NEPTCO | ||||
Joint venture partner | Joint venture partner | Joint venture partner | Joint venture partner | JV | JV | |||||||
Minimum | Joint venture partner | |||||||||||
Joint Venture | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of ownership stake acquired | ' | ' | ' | ' | ' | ' | ' | 50.00% | ' | ' | 50.00% | ' |
Ownership interest held by each member (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50.00% |
Percentage of net assets and net loss recorded as non-controlling interest in the entity's consolidated financial statements | ' | ' | ' | ' | ' | 50.00% | ' | ' | ' | ' | ' | ' |
Ownership interest (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | 50.00% | ' | ' | ' |
ASSETS | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash & cash equivalents | $29,997 | $15,180 | $14,982 | $17,340 | ' | $394 | $1,008 | ' | ' | ' | ' | ' |
Accounts receivable, net | 32,084 | 31,621 | ' | ' | ' | 1,106 | 1,540 | ' | ' | ' | ' | ' |
Inventories, net | 32,048 | 32,323 | ' | ' | ' | 1,510 | 2,394 | ' | ' | ' | ' | ' |
Prepaid expenses and other assets | 1,826 | 1,810 | ' | ' | ' | 283 | 219 | ' | ' | ' | ' | ' |
Property, plant and equipment, net | 45,192 | 49,279 | ' | ' | ' | 448 | 630 | ' | ' | ' | ' | ' |
Intangible assets, net | 31,781 | 36,363 | ' | ' | ' | 706 | 655 | ' | ' | ' | ' | ' |
Total assets | 224,360 | 214,832 | ' | ' | ' | 4,447 | 6,446 | ' | ' | ' | ' | ' |
Liabilities and net assets | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accounts payable and accrued expenses | ' | ' | ' | ' | ' | 679 | 1,650 | ' | ' | ' | ' | ' |
Due to members | ' | ' | ' | ' | ' | 1,677 | 1,757 | ' | ' | ' | ' | ' |
Total liabilities | ' | ' | ' | ' | ' | 2,356 | 3,407 | ' | ' | ' | ' | ' |
Net assets | ' | ' | ' | ' | ' | 2,091 | 3,039 | ' | ' | ' | ' | ' |
Non-controlling interest | 1,046 | 1,520 | ' | ' | ' | 1,046 | 1,520 | ' | ' | ' | ' | ' |
Fair value as of the acquisition date | ' | ' | ' | ' | 3,186 | ' | ' | ' | 1,593 | ' | ' | ' |
Period for which the non-compete agreements exist subsequent to the date on which members no longer own membership interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '4 years |
Percentage of total glass fiber requirements agreed to be purchased | ' | ' | ' | ' | ' | ' | ' | ' | ' | 80.00% | ' | ' |
Purchases made | ' | ' | ' | ' | ' | 1,818 | 411 | ' | ' | ' | ' | ' |
Amounts due for purchases made | ' | ' | ' | ' | ' | $378 | $618 | ' | ' | ' | ' | ' |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (Recurring basis, USD $) | Aug. 31, 2013 | Aug. 31, 2012 |
In Thousands, unless otherwise specified | ||
Total | ' | ' |
Fair value measurements | ' | ' |
Restricted investments | $1,094 | $874 |
Long-term debt | 64,400 | 70,000 |
Quoted prices in active markets (Level 1) | ' | ' |
Fair value measurements | ' | ' |
Restricted investments | 1,094 | 874 |
Significant other observable inputs (Level 2) | ' | ' |
Fair value measurements | ' | ' |
Long-term debt | $64,400 | $70,000 |
Net_Income_Per_Share_Details
Net Income Per Share (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Share data, unless otherwise specified | Aug. 31, 2013 | 31-May-13 | Feb. 28, 2013 | Nov. 30, 2012 | Aug. 31, 2012 | 31-May-12 | Feb. 29, 2012 | Nov. 30, 2011 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Net income per share | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net income attributable to Chase Corporation | $5,896 | $5,134 | $2,644 | $3,540 | $2,441 | $3,373 | $1,197 | $2,327 | $17,214 | $9,338 | $10,931 |
Less: Allocated to participating securities | ' | ' | ' | ' | ' | ' | ' | ' | 396 | 295 | 279 |
Available to common shareholders | ' | ' | ' | ' | ' | ' | ' | ' | $16,818 | $9,043 | $10,652 |
Basic weighted average shares outstanding | ' | ' | ' | ' | ' | ' | ' | ' | 8,860,972 | 8,761,262 | 8,721,452 |
Additional dilutive common stock equivalents (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 117,466 | 25,488 | 42,356 |
Diluted weighted average shares outstanding | ' | ' | ' | ' | ' | ' | ' | ' | 8,978,438 | 8,786,750 | 8,763,808 |
Net income available to common shareholders, per common and common equivalent share | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basic (in dollars per share) | $0.65 | $0.57 | $0.29 | $0.39 | $0.27 | $0.37 | $0.13 | $0.26 | $1.90 | $1.03 | $1.22 |
Diluted (in dollars per share) | $0.64 | $0.56 | $0.29 | $0.39 | $0.27 | $0.37 | $0.13 | $0.26 | $1.87 | $1.03 | $1.22 |
Antidilutive securities | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Antidilutive stock options excluded from computation of earnings per share amount (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | ' | 265,081 | 265,201 |
Assets_Held_for_Sale_Details
Assets Held for Sale (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 | Oct. 31, 2013 | Oct. 31, 2013 |
Insulfab product line | Subsequent Event | Subsequent Event | |||
Forecast | |||||
Assets held for sale | ' | ' | ' | ' | ' |
Proceeds from the sale of property and assets | ' | ' | ' | $7,394,000 | ' |
Pre-tax book gain from the sale of property and assets | ' | ' | ' | ' | 5,700,000 |
Inventory | 32,048,000 | 32,323,000 | 885,000 | ' | ' |
Property & equipment | 45,192,000 | 49,279,000 | 1,060,000 | ' | ' |
Accrued expenses | -5,171,000 | -6,005,000 | -40,000 | ' | ' |
Assets held for sale | ' | ' | $1,905,000 | ' | ' |
Related_Party_Agreements_Detai
Related Party Agreements (Details) (USD $) | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2013 | Aug. 31, 2013 | Aug. 31, 2012 | Jun. 30, 2012 | Aug. 31, 2012 | Aug. 31, 2013 | Aug. 31, 2013 |
In Thousands, unless otherwise specified | Trust | Joint venture partner | Joint venture partner | NEPTCO | NEPTCO | NEPTCO | NEPTCO | ||
Voting agreement | JV | JV | JV | Joint venture partner | Joint venture partner | ||||
Minimum | JV | ||||||||
Related party transactions | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of ownership stake acquired | ' | ' | ' | ' | ' | 50.00% | 50.00% | ' | ' |
Ownership interest held by each member (as a percent) | ' | ' | ' | ' | ' | ' | ' | ' | 50.00% |
Percentage of total glass fiber requirements agreed to be purchased | ' | ' | ' | ' | ' | ' | ' | 80.00% | ' |
Purchases made | ' | ' | ' | $1,818 | $411 | ' | ' | ' | ' |
Amounts due for purchases made | ' | ' | ' | 378 | 618 | ' | ' | ' | ' |
Original book value | 49,335 | 49,210 | 200 | ' | ' | ' | ' | ' | ' |
Useful life | ' | ' | '10 years | ' | ' | ' | ' | ' | ' |
Net book value | $31,781 | $36,363 | $0 | ' | ' | ' | ' | ' | ' |
Selected_Quarterly_Financial_D2
Selected Quarterly Financial Data (Unaudited) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Aug. 31, 2013 | 31-May-13 | Feb. 28, 2013 | Nov. 30, 2012 | Aug. 31, 2012 | 31-May-12 | Feb. 29, 2012 | Nov. 30, 2011 | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Selected Quarterly Financial Data (Unaudited) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net Sales | $57,862 | $55,096 | $47,714 | $52,976 | $51,626 | $34,378 | $28,836 | $31,654 | $213,648 | $146,494 | $120,918 |
Gross Profit on Sales | 19,398 | 18,264 | 14,247 | 15,705 | 15,608 | 12,168 | 7,814 | 9,655 | 67,614 | 45,245 | ' |
Net income attributable to Chase Corporation | $5,896 | $5,134 | $2,644 | $3,540 | $2,441 | $3,373 | $1,197 | $2,327 | $17,214 | $9,338 | $10,931 |
Net income available to common shareholders, per common and common equivalent share: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basic (in dollars per share) | $0.65 | $0.57 | $0.29 | $0.39 | $0.27 | $0.37 | $0.13 | $0.26 | $1.90 | $1.03 | $1.22 |
Diluted (in dollars per share) | $0.64 | $0.56 | $0.29 | $0.39 | $0.27 | $0.37 | $0.13 | $0.26 | $1.87 | $1.03 | $1.22 |
Valuation_and_Qualifying_Accou2
Valuation and Qualifying Accounts (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Aug. 31, 2013 | Aug. 31, 2012 | Aug. 31, 2011 |
Accounts receivable reserve | ' | ' | ' |
Changes in valuation allowances and reserves | ' | ' | ' |
Balance at Beginning of Year | $817 | $473 | $347 |
Charges to Operations | 135 | 459 | 327 |
Deductions to Reserves | -256 | -115 | -201 |
Balance at End of Year | 696 | 817 | 473 |
Accounts receivable reserve | NEPTCO | ' | ' | ' |
Changes in valuation allowances and reserves | ' | ' | ' |
Charges to Operations | ' | 94 | ' |
Warranty reserve | ' | ' | ' |
Changes in valuation allowances and reserves | ' | ' | ' |
Balance at Beginning of Year | 249 | 362 | 279 |
Charges to Operations | ' | 157 | 288 |
Deductions to Reserves | -1 | -270 | -205 |
Balance at End of Year | $248 | $249 | $362 |