XML 67 R21.htm IDEA: XBRL DOCUMENT v2.4.0.8
Restructuring
6 Months Ended
Dec. 28, 2013
Restructuring Charges [Abstract]  
Restructuring [Text Block]
RESTRUCTURING

Elan
    
During the second quarter of fiscal 2014, in conjunction with the Elan acquisition and in keeping with optimizing the cost structure of the business moving forward, the Company incurred restructuring charges of $14.3 million related to employee termination benefits for eight employees. As of December 28, 2013, approximately $1.1 million had been paid out. The Company expects to incur approximately $8.0 to $10.0 million in additional employee termination benefits for approximately 25 employees in the second half of fiscal 2014. The charge for employee termination benefits was included in the restructuring line of the Consolidated Statement of Operations for the three and six months ended December 28, 2013.

Georgia

During the second quarter of fiscal 2014, the Company made the decision to move its diabetes care operations from Georgia to Allegan, Michigan in order to consolidate operational and administrative functions. As a result of this plan, the Company incurred restructuring costs of approximately $0.5 million in its Consumer Healthcare segment during the second quarter of fiscal 2014 related to employee termination benefits for approximately 30 employees at its Georgia location. The charge for employee termination benefits was included in the restructuring line of the Consolidated Statement of Operations for the three and six months ended December 28, 2013. The Company expects to pay out these termination benefits during fiscal 2014. Additional restructuring costs are not expected to be material.

Minnesota

During the first quarter of fiscal 2014, the Company made the decision to restructure its workforce at its Minnesota location in an effort to consolidate specific global administrative functions. As a result of this plan, the Company incurred restructuring costs of approximately $1.4 million and $0.2 million in its Rx Pharmaceuticals segment during the first and second quarters of fiscal 2014, respectively, related to employee termination benefits for approximately 40 employees at its Minnesota location. The charge for employee termination benefits was included in the restructuring line of the Consolidated Statement of Operations for the three and six months ended December 28, 2013. The Company expects to pay out these termination benefits during fiscal 2014. Additional restructuring costs are not expected to be material.

Velcera

In connection with the Velcera acquisition, the Company incurred restructuring costs of $2.9 million in its Consumer Healthcare segment during the fourth quarter of fiscal 2013 related to employee termination benefits for 22 employees. During the first quarter of fiscal 2014, the Company incurred additional restructuring costs of $0.7 million related to employee termination benefits. The charge for employee termination benefits was included in the restructuring line of the Consolidated Statement of Operations for the six months ended December 28, 2013. All termination benefits had been paid as of December 28, 2013. The Company does not expect to incur any additional restructuring costs.