Organization and Significant Accounting Policies (Tables)

12 Months Ended

Mar. 31, 2020

Contract with Customer, Asset and Liability

The balance of net contract liabilities consisted of the following at March 31, 2020 and 2019 (amounts in thousands):



Contract Liabilities	Classification in Balance Sheet	March 31, 2020		March 31, 2019
Current	Accrued expenses	$	6,035	$	256
Non-current	Other non-current obligations	60,638		13,412
		$	66,673	$	13,668

Summary of components of accumulated other comprehensive income (loss)

The following summary sets forth the components of accumulated other comprehensive income (loss) contained in the stockholders’ equity section of the Consolidated Balance Sheets (amounts in thousands):



	Foreign Currency Translation, net of Tax ⁽¹⁾			Post-Retirement Benefit Plan Adjustments, net of Tax			Defined Benefit Pension Plans, net of Tax ⁽²⁾⁽³⁾			Ownership Share of Equity Method Investees’ Other Comprehensive Income (Loss), net of Tax			Cash Flow Hedges, net of Tax			Excluded Component of Fair Value Hedges, net of Tax			Net Accumulated Other Comprehensive Income (Loss)
Balance at March 31, 2018	$	9,715		$	879		$	(14,831	)	$	285		$	1,154		$	—		$	(2,798	)
Other comprehensive income (loss) before reclassifications ⁽⁴⁾⁽⁵⁾	(19,835		)	81			(1,525		)	(11		)	(1,286		)	(6,383		)	(28,959		)
Amounts reclassified out of AOCI	(4,230		)	(167		)	598			—			698			4,134			1,033
Other comprehensive income (loss)	(24,065		)	(86		)	(927		)	(11		)	(588		)	(2,249		)	(27,926		)
Balance at March 31, 2019	(14,350		)	793			(15,758		)	274			566			(2,249		)	(30,724		)
Other comprehensive income (loss) before reclassifications ⁽⁴⁾⁽⁵⁾	5,097			2			(302		)	—			(35,078		)	(346		)	(30,627		)
Amounts reclassified out of AOCI	(10,278		)	(149		)	862			—			1,559			1,775			(6,231		)
Other comprehensive income (loss)	(5,181		)	(147		)	560			—			(33,519		)	1,429			(36,858		)
Balance at March 31, 2020	$	(19,531	)	$	646		$	(15,198	)	$	274		$	(32,953	)	$	(820	)	$	(67,582	)

______________________________________________________________________________

⁽¹⁾There were no significant tax effects associated with the cumulative currency translation gains and losses as of March 31, 2020, 2019, and 2018.

⁽²⁾Ending balance is net of a tax benefit of $3.5 million, $2.4 million, and $2.3 million as of March 31, 2020, 2019, and 2018, respectively.

⁽³⁾ Activity for the years ended March 31, 2020 and 2019 are net of a tax expense of $1.1 million and $0.2 million, respectively.

⁽⁴⁾ Foreign currency translation includes gains of $18.2 million and $5.0 million for fiscal years ended March 31, 2020 and 2019, respectively, related to a derivative instrument accounted for as a net investment hedge. Refer to Note 13, Derivatives, for further information.

⁽⁵⁾Cash flow hedges, net of tax for fiscal year ended March 31, 2020 includes losses of $24.3 million which were excluded from the assessment of hedge effectiveness.

Schedule of assets measured at fair value on a recurring basis

Assets and liabilities measured at fair value on a recurring basis as of March 31, 2020 and 2019 are as follows (amounts in thousands):



	Carrying Value March 31,			Fair Value March 31,			Fair Value Measurement Using							Carrying Value March 31,			Fair Value March 31,			Fair Value Measurement Using
	2020			2020			Level 1		Level 2 ⁽³⁾			Level 3		2019			2019			Level 1		Level 2 ⁽³⁾			Level 3
Assets (Liabilities):
Money markets ⁽¹⁾⁽²⁾	$	48,264		$	48,264		$	48,264	$	—		$	—	$	60,687		$	60,687		$	60,687	$	—		$	—
Derivative assets	—			—			—		—			—		5,141			5,141			—		5,141			—
Derivative liabilities	(20,287		)	(20,287		)	—		(20,287		)	—		—			—			—		—			—
Total debt	(264,784		)	(272,347		)	—		(272,347		)	—		(283,201		)	(303,170		)	—		(303,170		)	—

______________________________________________________________________________

⁽¹⁾Included in the line item “Cash and cash equivalents” on the Consolidated Balance Sheets.

⁽²⁾Certificates Deposits of $24.8 million and $32.2 million that mature in three months or less are included within the balance as of March 31, 2020 and 2019, respectively.

⁽³⁾Fair value for derivative assets and liabilities was determined by using a third-party matrix-pricing model that uses significant inputs derived from or corroborated by observable market data. Where applicable, these models discount future cash flow amounts using market-based observable inputs, including interest rate yield curves, and forward and spot prices for currencies. Fair value for total debt was determined by using a discounted cash flow based on current market interest rates.

KEMET CORP 10-K