Restructuring

Charges

Commencing in

fiscal

2015

and through fiscal

2017,

the Company’s management approved, committed to and initiated plans to restructure and further improve efficiencies by implementing cost reductions in line with expected decreases in revenue. The Company renegotiated several office leases and relocated to smaller space, while also negotiating sub-leases for the original space. In addition, the Company executed a general work-force reduction and recognized costs for severance and termination benefits. These restructuring charges and accruals require estimates and assumptions, including contractual rental commitments or lease buy-outs for vacated office space and related costs, and estimated sub-lease income. The Company’s sub-lease assumptions include the rates to be charged to a sub-tenant and the timing of the sub-lease arrangement. All of the vacated lease space is currently contractually occupied by a new sub-tenant for the remaining life of the lease. In the

second

quarter of fiscal

2017,

the Company initiated a plan to shut down its operations in India. All of these estimates and assumptions will be monitored on a quarterly basis for changes in circumstances with the corresponding adjustments reflected in the consolidated statement of operations.

In total, a

charge of

$286

and

$879

was recorded to restructuring expenses for fiscal

2017

and fiscal

2016

in the consolidated statement of operations for the total lease expenses less sub-lease rental income, other miscellaneous lease termination costs, loss on disposal of fixed assets, and costs for severance and termination benefits.

The following table summarizes the restructuring charges reserve activity:

	Employee Severence and Benefits			Facility Related and Other Costs			Total
Balance at end of period, September 30, 2015	$	-		$	307		$	307
Charges to operations		505			158			663
Cash disbursements		(311	)		(223	)		(534	)
Changes in estimates		(1	)		5			4
Balance at end of period, September 30, 2016	$	193		$	247		$	440
Charges to operations		-			241			241
Cash disbursements		(203	)		(347	)		(550	)
Changes in estimates		-			33			33
Accretion Expense		10			2			12
Balance at end of period, September 30, 2017	$	-		$	176		$	176

As of

September 30,

017,

$119

is reflected in Accrued Liabilities and

$57

is reflected in Other long term liabilities. As of

September 30, 2016,

$331

is reflected in Accrued Liabilities and

$109

is reflected in Other long term liabilities.

ccrued restructuring liabilities is comprised of the following:

	As of September 30,
	2017		2016

Facilities and related	$	133	$	195
Employee related		-		193
Other		43		52
Total	$	176	$	440