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RESTRUCTURING AND RELATED CHARGES
6 Months Ended
Jun. 30, 2020
Restructuring and Related Activities [Abstract]  
RESTRUCTURING AND RELATED CHARGES RESTRUCTURING AND RELATED CHARGES
In April 2020, the Board approved a multi-phase restructuring plan related to our previously announced strategic shift and as part of the cost cutting measures implemented in response to the impact of COVID-19 on our business. We expect to incur total pretax charges of up to $105.0 million in connection with these restructuring actions through the end of 2021. The first phase of the restructuring actions includes an overall reduction of approximately 1,300 positions globally and the exit or discontinuation of the use of certain leases and other assets by the end of 2020. The majority of the first phase of headcount reductions and impairments of our right-of-use and other long-lived assets occurred during the second quarter 2020. In August 2020, we intend to initiate the second phase of our restructuring plan, which will include additional workforce reductions and a rationalization of our country footprint. We expect to incur pretax charges of $30.0 million to $38.0 million in connection with the second phase of our restructuring plan, primarily in our International segment. The majority of these charges are expected to be paid in cash and primarily relate to employee severance and compensation benefits expenses, facilities-related costs and impairment charges and professional advisory fees. We will continue to evaluate our cost structure, including additional workforce reductions, as part of the second phase of our restructuring plan. Costs incurred related to the restructuring plan are classified as Restructuring and related charges on the condensed consolidated statements of operations.
The following table summarizes costs incurred by segment related to the restructuring plans for both the three and six months ended June 30, 2020 (in thousands):

Three and Six Months Ended June 30, 2020
Employee Severance and Benefit Costs (1)
Legal and Advisory CostsProperty, Equipment and Software ImpairmentsRight-of-Use Asset Impairments and Lease-related Charges (Credits)Total Restructuring Charges (Credits)
North America$16,059  $ $4,720  $9,311  $30,098  
International8,641  741  32  966  10,380  
Consolidated$24,700  $749  $4,752  $10,277  $40,478  
(1)The employee severance and benefits costs for both the three and six months ended June 30, 2020 are related to the termination of approximately 700 employees and planned termination of 600 additional employees for which legally-required severance and benefit costs have been recognized as of June 30, 2020. Additional severance and benefits costs related to the remaining 600 employees may be incurred in future periods. Substantially all of the remaining cash payments for the costs accrued as of June 30, 2020 are expected to be disbursed by the end of 2020.
As a part of our restructuring plan, we vacated several of our leased facilities, and many of those facilities are being actively marketed for sublease or we are in negotiations with the landlord to potentially terminate or modify those leases. We recognized $13.9 million in restructuring charges related to the impairment of right-of-use assets and leasehold improvements related to those leases as we reduced the carrying value of the those assets to their respective fair value. See Note 2, Goodwill and Long-Lived Assets for more information. Rent expense, including amortization of the right-of-use asset and accretion of the operating lease liability, sublease income and other variable lease costs related to these leases are presented within Restructuring and related charges in the condensed consolidated statements of operations.
The following table summarizes restructuring liability activity for the six months ended June 30, 2020 (in thousands):
Employee Severance and Benefit CostsLegal and Advisory CostsTotal
Balance as of December 31, 2019 (1)
$699  $—  $699  
Charges payable in cash (2)
23,276  749  24,025  
Cash payments(13,404) —  (13,404) 
Foreign currency translation190  (14) 176  
Balance as of June 30, 2020$10,761  $735  $11,496  
(1)Amounts included in the beginning balance are related to prior restructuring plans and the liabilities under those plans have been substantially settled.
(2)Excludes stock-based compensation of $1.4 million related to accelerated vesting of stock-based compensation awards for certain employees terminated as a result of our restructuring activities during the six months ended June 30, 2020.