Severance and Exit Costs |
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Restructuring and Related Activities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Severance and Exit Costs | 17. Severance and Exit Costs In connection with acquisitions, we conduct pre and post-acquisition related operational reviews to reallocate resources to strategic areas of the business. The operational reviews resulted in workforce reductions, lease obligations related to properties 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:
Included in accounts payable and accrued liabilities as of August 31, 2023 and February 28, 2023 was a restructuring liability balance, primarily consisting of lease related obligations, of $0.2 million, and a restructuring severance liability of $0.7 million and $0.9 million, respectively. We expect these amounts to be substantially paid within the next 12 months. The following table reflects the changes in the severance and exit cost accruals:
(1) Represents the severance and retention accrual that was written off as part of the subsidiary disposition in February 2023. Accrued severance includes activity related to the pre and post-acquisition related operational reviews (acquisition related severance) as well as various departmental cost cutting initiatives resulting in severance awards to specific individuals that are not under a specific Company program (non-acquisition related severance). The non-acquisition related severance payments are accrued in both accrued severance and accrued compensation. Total severance expense, including both acquisition and non-acquisition related severance payments, for the three months ended August 31, 2023 and 2022 was a $0.5 million and $2.8 million, respectively, and for the six months ended August 31, 2023 and 2022 was $3.5 million and $4.7 million, respectively. |