6.	Restructuring and Reorganization Charges

Restructuring and reorganization charges are expenses that generally result from cost reduction initiatives and/or significant changes to our business, to include such things as involuntary employee terminations, changes in management structure, divestitures of businesses, facility consolidations and abandonments, and fundamental reorganizations impacting operational focus and direction. The following are the key restructuring and reorganizational activities we incurred over the last three years that have impacted our results from operations:

·	During 2012, we implemented the following cost reduction and efficiency initiatives:

·	We abandoned one of our current office facilities to improve our space utilization, resulting in a restructuring charge of $0.5 million.

·	We recorded $0.6 million of restructuring expenses related primarily to members of Ascade management leaving following the successful close of the transaction.

·	We reduced our workforce by approximately 40 employees, primarily in North America, as a result of organizational changes, elimination of positions, and reskilling of certain roles. As a result, we recorded $1.0 million of restructuring expenses.

·	During 2013 we executed the following restructuring activities:

·	In 2013, we reduced our workforce by approximately 160 employees world-wide. These actions were taken to further align our workforce around our near- and long-term business opportunities. As a result, we incurred restructuring charges related to these involuntary terminations of $5.6 million.

·	We disposed of a small print operation and our marketing analytics business, resulting in $3.6 million of restructuring charges, including a $3 million loss from the sale.

·	We terminated our previously frozen defined benefit pension plan resulting in $3.2 million of restructuring expense.

·	During 2014 we completed the following restructuring and reorganization activities:

In July 2014, in conjunction with the reorganization of our Content Direct solution to facilitate its integration with our other offerings, we terminated an incentive arrangement with certain employees to develop and then grow our Content Direct solution (the “Arrangement”) in exchange for a one-time cash payment of $8.0 million, which is reflected as a reorganization charge in the third quarter of 2014. The Arrangement included certain liquidation options for the employees in the event of a change of control of the Content Direct solution. Because of the contingent nature of the Arrangement (i.e., payable only upon the occurrence of a change of control related to the Content Direct solution), we had not recognized any amounts in our financial statements related to this matter up to this point.

·	During 2014, we reduced our workforce by approximately 60 employees world-wide, to further align our workforce around our near- and long-term business opportunities. As a result, we recorded restructuring expense of $5.6 million.

·	During 2014, we abandoned space at two of our locations to improve our space utilization, resulting in a restructuring charge of $1.1 million.

The activities discussed above resulted in total charges for 2014, 2013, and 2012 of $14.0 million, $12.4 million, and $2.5 million, respectively, which have been reflected as a separate line item in our Income Statements.

The activity in the business restructuring and reorganization reserves during 2014, 2013, and 2012 is as follows (in thousands):

	Termination Benefits			Facilities Abandonment			Disposition of Business Operations			Other			Total
January 1, 2012, balance	$	3,771		$	489		$	—		$	—		$	4,260
Charged to expense during year		1,835			630			—			4			2,469
Cash payments		(3,704	)		—			—			(4	)		(3,708	)
Other		15			(666	)		—			—			(651	)
December 31, 2012, balance		1,917			(453	)		—			—		$	2,370
Charged to expense during year		5,577			—			3,588			3,240			12,405
Cash payments		(3,741	)		—			(571	)		(19	)		(4,331	)
Adjustment for the loss on the disposition of business operations		—			—			(3,017	)		—			(3,017	)
Adjustment for the loss on termination of pension plan		—			—			—			(3,221	)		(3,221	)
Other		15			(453	)		—			—			(489	)
December 31, 2013, balance		3,717			—			—			—			3,717
Charged to expense during year		5,589			1,146			(222	)		7,456			13,969
Cash payments		(6,421	)		—			—			(8,000	)		(14,421	)
Adjustment for the loss on the disposition of business operations		—			—			222			—			222
Other		(66	)		(33	)		—			560			461
December 31, 2014, balance	$	2,819		$	1,113		$	—		$	16		$	3,948

As of December 31, 2014, $3.1 million of the business restructuring and reorganization reserves were included in current liabilities.