Leases: During the three months ended August 31, 2020, the Company ceased the use of certain leased property and accelerated the amortization resulting in a $24.4 million reduction of the operating lease right-of-use assets. This expense was included in selling, general and administrative expenses on the Consolidated Statements of Income and Comprehensive Income. The related lease liabilities will be satisfied under the original terms of the lease arrangements, unless buy-outs can be negotiated.

Property and equipment, net of accumulated depreciation: During the three months ended August 31, 2020, the Company disposed of certain furniture and fixtures associated with abandoned leased property and recorded a loss on disposal of $5.1 million. The loss was included in selling, general and administrative expenses on the Consolidated Statements of Income and Comprehensive Income. Depreciation expense was $31.3 million for the three months ended August 31, 2020 compared to $31.8 million for the three months ended August 31, 2019.

Goodwill and intangible assets, net of accumulated amortization: Amortization expense relating to intangible assets was $18.3 million for the three months ended August 31, 2020 compared to $21.1 million for the three months ended August 31, 2019. The Company did not recognize an impairment loss as it relates to its goodwill or intangible assets during the three months ended August 31, 2020 or August 31, 2019.

Short-term financing: Outstanding borrowings on the Company’s credit facilities had a weighted-average interest rate of 1.24% and 1.28% as of August 31, 2020 and May 31, 2020, respectively. The unused amount available under these credit facilities as of August 31, 2020 was approximately $1.7 billion. The credit facilities contain various financial and operational covenants that are usual and customary for such arrangements. The Company was in compliance with all of these covenants as of August 31, 2020.

Letters of credit: The Company had irrevocable standby letters of credit available totaling $147.9 million as of both August 31, 2020 and May 31, 2020, respectively, required to secure commitments for certain insurance policies. The letters of credit expire at various dates between November 30, 2020 and July 15, 2022. No amounts were outstanding on these letters of credit as of, or during the three months ended August 31, 2020 and August 31, 2019, or as of May 31, 2020.

Long-term debt: The Company’s long-term debt agreement contains customary representations, warranties, affirmative and negative covenants, including financial covenants that are usual and customary for such arrangements. The Company was in compliance with all of these covenants as of August 31, 2020.