Restructuring and Other Expense

The components of our restructuring and other expense included in the Condensed Consolidated Statements of Operations were as follows:



	Three Months Ended					Nine Months Ended
	September 30,					September 30,
(In millions)	2015			2014		2015			2014
Restructuring Expense:
Severance and related	$	17.5		$	0.8	$	18.4		$	3.6
Lease termination costs	—			0.2		—			0.3
Other	0.2			0.3		0.6			1.2
Total restructuring	$	17.7		$	1.3	$	19.0		$	5.1
Other Expense:
Pension settlement/curtailment (Note 9)	1.0			0.2		1.0			0.1
Settlement of UK pension plan	—			0.5		—			0.5
Asset disposals / write down⁽¹⁾	25.1			—		25.1			—
Other⁽²⁾	(3.6		)	2.2		(2.2		)	5.8
Total	$	40.2		$	4.2	$	42.9		$	11.5

⁽¹⁾The $25.1 million of asset disposals / asset write down primarily consists of a write down of our corporate headquarters facility. During the third quarter of 2015, based on the Board of Director's and management's decision to sell this facility in light of the other restructuring activities that were approved in September 2015, we classified our corporate headquarters facility as an asset held for sale. The carrying value of our corporate headquarters facility of $32.0 million was subsequently written down to $10.4 million which is its estimated fair value based on negotiations with a third party with interest in purchasing our corporate headquarters. The $21.6 million write down was charged to restructuring and other expense in the Condensed Consolidated Statement of Operations.

⁽²⁾For the three and nine months ended September 30, 2015, other consists of a gain on the sale of our RDX^TM Storage product line which was partially offset by direct third-party costs associated with our proxy contest and strategic review process. On August 13, 2015, the Company sold its RDX Storage business and recognized a $4.8 million gain in restructuring and other expense in the Condensed Consolidated Statement of Operations. For the three and nine months ended September 30, 2014, other consists of consulting fees and certain employee costs. See Note 12 - Fair Value Measurements for further information on the RDX transaction.

Restructuring Plan

On September 27, 2015, the Company adopted a restructuring plan pursuant to which it will terminate certain sales and operations of its worldwide Storage Media (magnetic tape) business, terminate certain sales and operations of its worldwide Consumer Storage and Accessories (CSA) business, and further reduce and rationalize its corporate overhead (the Restructuring Plan). As of September 30, 2015, the Company and its Board of Directors had not yet determined that it will restructure its Storage Media and CSA operations in Europe. The Company is currently in the process of negotiations with the European works councils to determine if such a restructuring in Europe would be approved by various European labor laws. Accordingly, no employee severance charges have been incurred associated with the Company's European operations, but it is reasonably possible that severance charges, which could be material, will be incurred in the future pending the outcome of the negotiations. The Company will continue its Nexsan^TM and Mobile Security businesses.

The Company is entering into the Restructuring Plan as a result of continued losses due to secular declines in its legacy Storage Media and CSA businesses and to reduce the cost structure and streamline the organization in light of these changes. The Company expects that it will incur approximately $140 to $160 million in total charges for the Restructuring Plan and will substantially complete the plan during the first quarter of 2016 with most charges incurred in the third and fourth quarters of 2015. Approximately $30 to $40 million of the total charges will require cash expenditures.

In October 2012, the Board of Directors approved our Global Process Improvement (GPI) Program in order to realign our business structure and significantly reduce operating expense over time. This restructuring program addressed product line rationalization and infrastructure and included a planned reduction in our global workforce. The GPI restructuring program is closed and current and future related charges will be reported as part of the Restructuring Plan.

During the third quarter of 2015, we incurred $113.9 million of costs under the Restructuring Plan. These costs included $73.7 of impairments and $40.2 million of restructuring and other. See Note 6 - Intangible Assets and Goodwill for further information on the impairments.

Activity related to the new and existing restructuring accruals was as follows:



(In millions)	Severance and Related		Lease Termination Costs		Other		Total
Accrued balance at December 31, 2014	0.8		0.3		0.2		1.3
Charges	0.5		—		0.3		0.8
Usage and payments	(0.7	)	(0.1	)	(0.2	)	(1.0	)
Accrued balance at March 31, 2015	0.6		0.2		0.3		1.1
Charges	0.4		—		0.1		0.5
Usage and payments	(0.4	)	(0.2	)	(0.1	)	(0.7	)
Accrued balance at June 30, 2015	0.6		—		0.3		0.9
Charges	17.5		—		0.2		17.7
Usage and payments	(4.7	)	—		(0.2	)	(4.9	)
Accrued balance at September 30, 2015	13.4		—		0.3		13.7