Revenue Recognition The Company adopted Accounting Standards Codification No. (ASC) 606, Revenue from Contracts with Customers ,  on February 1, 2018 using the modified retrospective method for all contracts not completed as of the date of adoption. The adoption of ASC 606 did not have a material impact on the Companys consolidated financial statements. The reported results for the first quarter of fiscal 2019 reflect the application of ASC 606 guidance while the reported results for the first quarter of fiscal 2018 were prepared under the guidance of ASC 605, Revenue Recognition, which is also referred to herein as "legacy U.S. GAAP" or the "previous guidance." The adoption of ASC 606 represents a change in accounting principle that will more closely align revenue recognition with the delivery of the Company's goods and services and will provide financial statement readers with enhanced disclosures. In accordance with ASC 606, revenue is recognized when a customer obtains control of promised goods or services. The amount of revenue recognized reflects the consideration to which the Company expects to be entitled to receive in exchange for these goods or services, and excludes any sales incentives or taxes collected from a customer which are subsequently remitted to government authorities. To achieve this core principle, the Company applies the following five steps: 1) Identify the contract(s) with a customer - A contract with a customer exists when (i) the Company enters into an enforceable contract with a customer that defines each partys rights regarding the goods or services to be transferred and identifies the payment terms related to those goods or services, (ii) the contract has commercial substance and, (iii) the Company determines that collection of substantially all consideration for goods or services that are transferred is probable based on the customers intent and ability to pay the promised consideration. 2) Identify the performance obligations in the contract - Performance obligations prom