Severance and Exit Costs

9 Months Ended

Nov. 30, 2021

Restructuring and Related Activities [Abstract]

Severance and Exit Costs

14. Severance and Exit Costs

In connection with acquisitions, we conducted post-acquisition related operational reviews to reallocate resources to strategic areas of the business. The operational reviews resulted in workforce reductions, certain real estate leases that were vacated and other expenses. Severance and exit costs included in acquisition-related expenses in the Condensed Consolidated Statements of Operations were as follows:

	Successor		Predecessor		Successor		Predecessor
	Three Months Ended		Three Months Ended		Nine Months Ended		Nine Months Ended
($ in thousands)	November 30, 2021		November 30, 2020		November 30, 2021		November 30, 2020
Severance	$	4,545	$	303	$	5,199	$	1,963
Lease exits		767		1,586		1,583		2,590
Total severance and exit costs	$	5,312	$	1,889	$	6,782	$	4,553

Included in accounts payable and accrued liabilities as of November 30, 2021 and February 28, 2021 is a restructuring liability, primarily consisting of lease related obligations, of $0.9 million and $1.6 million, respectively, and a restructuring severance liability of $4.3 million and $0.3 million, respectively. We expect these amounts to be substantially paid within the next 12 months.

The following table provides a reconciliation of the severance and exit cost accruals from February 4, 2021 through February 28, 2021 and February 28, 2021 through November 30, 2021 :

	Successor
($ in thousands)	November 30, 2021			February 28, 2021
Beginning of period	$	1,988		$	3,730
Payments		(2,967	)		(6,463	)
Impairment of right-of-use assets		(580	)		—
Expenses		6,782			4,721
End of period	$	5,223		$	1,988