On May 19, 2020, the Company committed to the strategic exit of its Control Devices particulate matter (“PM”) sensor product line. The decision to exit the PM sensor product line was made after consideration of the decline in the market outlook for diesel passenger vehicles, the current and expected profitability of the product line and the Company’s strategic focus on aligning resources with the greatest opportunities. The Company expects the exit from the PM sensor product line to be completed in the third quarter of 2021.

As a result of the PM sensor restructuring actions, the Company recognized expense of $342 and $2,894 for the three and nine months ended September 30, 2020 for non-cash fixed asset charges, including impairment and accelerated depreciation of PM sensor related fixed assets and other related costs. For the three months ended September 30, 2020 restructuring related costs of $340 and $2 were recognized in COGS and SG&A, respectively. For the nine months ended September 30, 2020 restructuring related costs of $503 and $2,391 were recognized in COGS and SG&A, respectively. The estimated range of additional cost of the plan to exit the PM sensor product line, that will impact the Control Devices segment, is approximately $1,335 and $4,015 and is related to employee severance and termination costs, contract terminations costs, other related costs and non-cash fixed asset charges. We anticipate that these costs will be incurred through the third quarter of 2021.

The expenses for the exit of the PM sensor line that relate to the Control Devices reportable segment include the following:

On January 10, 2019, the Company committed to a restructuring plan that resulted in the closure of the Canton, Massachusetts facility (“Canton Facility”) on March 31, 2020 and the consolidation of manufacturing operations at that site into other Company locations (“Canton Restructuring”). Company management informed employees at the Canton Facility of this restructuring decision on January 11, 2019. The costs for the Canton Restructuring include employee severance and termination costs, contract terminations costs, professional fees and other related costs such as moving and set-up costs for equipment and costs to restore the engineering function previously located at the Canton facility.

As a result of the Canton Restructuring actions, the Company recognized expense of $197 and $3,607 respectively, for the three months ended September 30, 2020 and 2019 for employee termination benefits and other restructuring related costs. For the three months ended September 30, 2020 other restructuring related costs of $88, $0 and $109 were recognized in COGS, SG&A and D&D, respectively, in the condensed consolidated statement of operations. For the three months ended September 30, 2019 severance and other related restructuring costs of $2,567, $287 and $753 were recognized in COGS, SG&A and D&D, respectively, in the condensed consolidated statement of operations. As a result of the Canton Restructuring actions, the Company recognized expense of $2,881 and $9,275, respectively, for the nine months ended September 30, 2020 and 2019 for employee termination benefits and other restructuring related costs. For the nine months ended September 30, 2020 severance and other restructuring related costs of $1,659, $549 and $673 were recognized in COGS, SG&A and D&D, respectively, in the condensed consolidated statement of operations. For the nine months ended September 30, 2019 severance and other related restructuring costs of $6,173, $762 and $2,340 were recognized in COGS, SG&A and D&D, respectively, in the condensed consolidated statement of operations. The estimated additional cost of this restructuring plan, that will impact the Control Devices segment, is approximately $300 and is related to additional costs to restore the engineering function previously located at the Canton Facility. These costs will be incurred through the first quarter of 2021.

The expenses for the Canton Restructuring that relate to the Control Devices reportable segment include the following:

In the fourth quarter of 2018, the Company undertook restructuring actions for the Electronics segment affecting the European Aftermarket business and China operations. In the second quarter of 2020, the Company finalized plans to move its European Aftermarket sales activities in Dundee, Scotland to a new location which resulted in incurring contract termination costs as well as employee severance and termination costs. In addition, the Company announced an additional restructuring program to transfer the European production of its controls product line to China. As a result of these actions, the Company recognized expense of $567 and $157, respectively, for the three months ended September 30, 2020 and 2019 for employee severance and termination costs, contract termination costs, other related costs and non-cash fixed asset charges for accelerated depreciation of fixed assets and other related costs. Electronics segment restructuring costs recognized in COGS, SG&A, and D&D in the condensed consolidated statement of operations for the three months ended September 30, 2020 were $132, $383 and $52, respectively. The Company recognized expense of $2,195 and $469, respectively, for the nine months ended September 30, 2020 and 2019 for severance, contract termination costs, other related costs and non-cash fixed asset charges for accelerated depreciation of fixed assets. Electronics segment restructuring costs recognized in COGS, SG&A and D&D in the condensed consolidated statement of operations for the nine months ended September 30, 2020 were $132, $1,634 and $429, respectively. Electronics segment restructuring costs were recognized in SG&A in the condensed consolidated statement of operations for the three and nine months ended September 30, 2019. The Company expects to incur approximately $500 of additional restructuring costs related to these actions through the second quarter of 2021.

The expenses for the restructuring activities that relate to the Electronics reportable segment include the following:

In addition to the specific restructuring activities, the Company regularly evaluates the performance of its businesses and cost structures, including personnel, and makes necessary changes thereto in order to optimize its results. The Company also evaluates the required skill sets of its personnel and periodically makes strategic changes. As a consequence of these actions, the Company incurs severance related costs which are referred to as business realignment charges.

(A)

Severance costs for the three months ended September 30, 2020 related to COGS, D&D and SG&A were $70, $35 and $178. Severance benefit for the three months ended September 30, 2019 related to COGS and D&D were $(27) and $(10). Severance costs for the nine months ended September 30, 2020 related to COGS, D&D and SG&A were $673, $284 and $745, respectively. Severance costs for the nine months ended September 30, 2019 related to SG&A were $512.

(B)	Severance costs for the three months ended September 30, 2020 related to COGS and SG&A were $33 and $72, respectively. Severance costs for the nine months ended September 30, 2020 related to COGS, D&D and SG&A were $356, $228 and $826, respectively.

(C)	Severance costs for the three months ended September 30, 2020 related to SG&A were $12. Severance costs for the nine months ended September 30, 2020 related to COGS and SG&A were $86 and $79, respectively.

(D)	Severance costs for the three months ended September 30, 2020 and 2019 related to SG&A were $1 and $392, respectively. Severance costs for the nine months ended September 30, 2020 and 2019 related to SG&A were $311 and $1,005, respectively.

Business realignment charges classified by statement of operations line item were as follows:


		Three months ended				Nine months ended
		September 30,				September 30,
	2020		2019		2020		2019
Cost of goods sold	$	103	$	(27)	$	1,115	$	-
Selling, general and administrative		263		392		1,961		1,517
Design and development		35		(10)		512		-
Total business realignment charges	$	401	$	355	$	3,588	$	1,517