SCHN 2017 Annual Report

SCHNITZER STEEL INDUSTRIES, INC. 37 / Schnitzer Steel Industries, Inc. Form 10-K 2017 Asset Impairment Charges (Recoveries), net During the periods presented, we recorded non-cash impairment charges and accelerated depreciation on certain long-lived and other assets, as well as recoveries on certain previously impaired assets. The following asset impairment charges and subsequent recoveries, excluding goodwill impairment charges, were recorded in the Consolidated Statements of Operations (in thousands): Year Ended August 31, 2017 2016 2015 Reported within other asset impairment charges (recoveries), net: Auto and Metals Recycling Long-lived assets $ — $ 7,336 $ 41,676 Accelerated depreciation — 6,208 — Investments in joint ventures 860 — — Assets held for sale (1,044) 1,659 2,558 Other assets — 1,208 140 Total Auto and Metals Recycling (184) 16,411 44,374 Cascade Steel and Scrap Accelerated depreciation 401 — — Investments in joint ventures (934) 1,968 — Supplies inventory — 2,224 — Total Cascade Steel and Scrap (533) 4,192 — Corporate - Other assets — 79 745 (717) 20,682 45,119 Reported within restructuring charges and other exit-related activities: Long-lived assets — 468 — Accelerated depreciation 96 630 3,836 Supplies inventory — 1,047 — Other assets 62 35 — Exit-related gains (565) (1,337) — (407) 843 3,836 Reported within discontinued operations: Long-lived assets — 673 2,666 Accelerated depreciation — 274 — — 947 2,666 Total $ (1,124) $ 22,472 $ 51,621 Corporate Corporate expense is comprised almost entirely of unallocated SG&Aexpense for management and certain administrative services that benefit both reportable segments. Corporate SG&A expense was $41 million, $30 million and $35 million for the fiscal years 2017, 2016, and 2015, respectively. The higher level of expense for fiscal 2017 is due to an increase in incentive compensation accruals resulting from improved financial performance and the inclusion of a $6 million benefit from an insurance reimbursement in fiscal 2016.