Graco Inc.

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SEC Filings

10-K
GRACO INC filed this Form 10-K on 02/16/2016
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Disclosures related to other fair value measurements are included below in Impairment of Long-Lived Assets, in Note F (Debt) and in Note J (Retirement Benefits).

Cash Equivalents. All highly liquid investments with a maturity of three months or less at the date of purchase are considered to be cash equivalents.

Accounts Receivable. Accounts receivable includes trade receivables of $217 million in 2015 and $207 million in 2014. Other receivables totaled $9 million in 2015 and $8 million in 2014.

Inventory Valuation. Inventories are stated at the lower of cost or market. The last-in, first-out (LIFO) cost method is used for valuing most U.S. inventories. Inventories of foreign subsidiaries are valued using the first-in, first-out (FIFO) cost method.

Other Current Assets. Amounts included in other current assets were (in thousands):
 
2015
 
2014
Prepaid income taxes
$
9,844

 
$
10,849

Restricted cash
9,518

 

Prepaid expenses and other
9,715

 
8,525

Total
$
29,077

 
$
19,374


Cash balances included within other current assets were restricted to funding of certain self-insured loss reserves.

Property, Plant and Equipment. For financial reporting purposes, plant and equipment are depreciated over their estimated useful lives, primarily by using the straight-line method as follows:
Buildings and improvements
 
10 to 30 years
Leasehold improvements
 
lesser of 5 to 10 years or life of lease
Manufacturing equipment
 
lesser of 5 to 10 years or life of equipment
Office, warehouse and automotive equipment
 
3 to 10 years

Goodwill and Other Intangible Assets. Goodwill has been assigned to reporting units. Changes in the carrying amounts of goodwill for each reportable segment were (in thousands):
 
 
Industrial
 
Process
 
Contractor
 
Total
Balance, December 27, 2013
 
$
156,079

 
$
21,156

 
$
12,732

 
$
189,967

Additions from business acquisitions
 
3,466

 
110,865

 

 
114,331

Foreign currency translation
 
(8,692
)
 
(3,032
)
 

 
(11,724
)
Balance, December 26, 2014
 
150,853

 
128,989

 
12,732

 
292,574

Additions from business acquisitions
 
4,230

 
102,864

 

 
107,094

Foreign currency translation
 
(1,800
)
 
(3,380
)
 

 
(5,180
)
Balance, December 25, 2015
 
$
153,283

 
$
228,473

 
$
12,732

 
$
394,488



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