13. Restructuring Charges

As of June 30, 2016, restructuring liabilities were $4.6 million and consisted primarily of obligations pertaining to the estimated future obligations for non-cancelable lease payments, of which, payments will continue through fiscal year 2023, due to the length of the lease agreements. The restructuring liability is recorded in "Other accrued liabilities" and “Other long-term liabilities” in the consolidated balance sheets. During fiscal years 2016, 2015 and 2014, the Company recorded restructuring charges, net of reversals, of $11.0 million, $9.8 million and $0.5 million, respectively.

Fiscal 2016

During fiscal 2016, the Company continued its initiative to realign its operations with a second phase by abandoning excess facilities, primarily in San Jose, California; Salem, New Hampshire; Research Triangle Park, North Carolina and other smaller leased locations. The abandoned facilities represented approximately 32% of the floor space in the aggregate at these locations and included general office and warehouse space.

In conjunction with the exiting of facilities noted above, we incurred $11.0 of restructuring charges. Excess facilities charges included accrued lease costs pertaining to the estimated future obligations for non-cancelable lease payments for excess facilities and contract termination charges of $5.4 million, acceleration of depreciation of leasehold improvements of $4.5 million, professional fees of $1.0 million and other of $0.1 million.

Significant restructuring charges incurred during 2016, by location, included $1.8 million of charges for excess facilities pertaining to the estimated future obligations for non-cancelable lease payments at our San Jose location. This represented 39% of the San Jose leased space. The Company amended its facility lease at its North Carolina location and exited excess space while recording $4.1 million of charges, which included $3.1 million in accelerated depreciation of leasehold improvements. This action represented 36% of the North Carolina location lease space. The Company recorded $4.4 million of charges for excess facilities at its Salem location, which included $1.3 million in accelerated depreciation of leasehold improvements. This action represented 27% of the Salem lease space. The excess facilities payments will continue through fiscal year 2023, due to the length of the lease agreements.

Fiscal 2015

During the fourth quarter of fiscal 2015, the Company reduced costs through targeted restructuring activities intended to reduce operating costs and realign our organization in the current competitive environment. We initiated a plan to reduce worldwide headcount by more than 225 employees, primarily in sales and marketing, as well as research and development, consolidate specific global administrative functions, and shift certain operating costs to lower cost regions, among other actions. The Company recorded $9.7 million of charges associated with its Phase One initiative.

Fiscal 2014

In fiscal 2014, the Company incurred an additional $0.5 million of expenses related to a restructuring plan originating in 2013. As part of its restructuring efforts in the second quarter of fiscal 2013, the Company initiated a plan to reduce its worldwide headcount by 13%, consolidate specific global administrative functions, and shift certain operating costs to lower cost regions, among other actions. There were no outstanding liabilities as of June 30, 2015.

Restructuring liabilities consist of (in thousands):

	Excess Facilities			Severance Benefits			Other			Total
Balance as of June 30, 2013	$	—		$	1,217		$	249		$	1,466
Period charges		628			119			86			833
Period reversals		(11	)		(309	)		(4	)		(324	)
Addition from acquisition		(20	)		—			—			(20	)
Period payments		(275	)		(1,027	)		(331	)		(1,633	)
Balance as of June 30, 2014		322			—			—			322
Period charges		0			9,694			125			9,819
Period payments		(322	)		(3,957	)		(8	)		(4,287	)
Balance as of June 30, 2015		—			5,737			117			5,854
Period charges		10,811			668			237			11,716
Period reversals		(18	)		(618	)		(90	)		(726	)
Non cash adjustments		(4,463	)		—			—			(4,463	)
Period payments		(1,686	)		(5,787	)		(264	)		(7,737	)
Balance as of June 30, 2016	$	4,644		$	—		$	—		$	4,644
Less: current portion included in Other accrued liabilities											2,522
Restructuring accrual included in Other long-term liabilities										$	2,122