Restructuring Charges

As part of the Company's efforts to adapt operations to market conditions, restructuring activities related to the Company's organizational structure and operations were announced during January of 2013. The charges associated with the restructuring activities are primarily included in the Company's Metals segment. Charges included in the Company's Other segment, which includes the costs of the executive, legal, and finance departments shared by both the Metals and Plastics segments, are insignificant.

The charges incurred during the year ended December 31, 2013 for the restructuring announced in January 2013 were comprised of employee termination and related benefits associated with salaried and hourly workforce reductions, lease termination costs, moving costs, other exit costs associated with five plant consolidations and inventory write-offs. For the year ended December 31, 2013, the Company incurred $9,798 of charges related to the restructuring announced in January of 2013. The restructuring activities announced in January 2013 are complete and any additional charges related to these restructuring activities will be insignificant.

In October 2013, the Company announced the consolidation of four additional facilities in locations where it has redundant operations as part of its continuous improvement plans to lower structural operating costs. For the year ended December 31, 2013, the Company incurred $441 of charges for moving and relocation costs associated with the consolidation of one of the four additional facility consolidations. The Company expects to incur $2,400 in total charges for moving and relocation costs to consolidate the four facilities. Additional charges to consolidate the facilities will be incurred during fiscal 2014 as the consolidation plans are executed.

Below is a summary of the total cumulative restructuring charges incurred during the year ended December 31, 2013:



	Charges incurred during the
	Year ended
	December 31, 2013
Employee termination and related benefits	$	2,702
Lease termination costs	1,448
Moving costs associated with plant consolidations	4,487
Other exit costs	366
Inventory write-offs	1,236
Total	$	10,239

Restructuring activity by plan for the year ended December 31, 2013 is summarized below:



			Period Activity
	Balance January 1, 2013		Charges ^(a)		Cash payments			Impairment			Balance December 31, 2013 ^(b)		Cumulative Charges Incurred to Date		Total Charges Expected to be Incurred
October 2013 plant consolidations
Moving costs associated with plant consolidations	$	—	$	312	$	(312	)	$	—		$	—	$	312	$	2,270
Employee termination and related benefits	—		129		—			—			129		129		130
Total October 2013 plant consolidations	—		441		(312		)	—			129		441		2,400
January 2013 restructuring activity
Moving costs associated with plant consolidations	—		4,175		(4,006		)	(169		)	—		4,175		3,500
Employee termination and related benefits	—		2,573		(2,573		)	—			—		2,573		2,200
Lease termination costs	—		1,448		(527		)	—			921		1,448		1,800
Other exit costs	—		366		(366		)	—			—		366		1,250
Inventory write-offs	—		1,236		—			(1,236		)	—		1,236		1,250
Total January 2013 restructuring activity	—		9,798		(7,472		)	(1,405		)	921		9,798		10,000
Total restructuring activity	$	—	$	10,239	$	(7,784	)	$	(1,405	)	$	1,050	$	10,239	$	12,400

^(a)Costs associated with the write-off of inventory are included in cost of materials in the consolidated statements of operations and comprehensive loss. All other costs are recorded to the restructuring charges line item within the consolidated statements of operations and comprehensive loss as they are incurred.

^(b)Payments on certain of the lease obligations are scheduled to continue until 2016. Market conditions and the Company’s ability to sublease these properties could affect the ultimate charge related to the lease obligations. Any potential recoveries or additional charges could affect amounts reported in the consolidated financial statements of future periods. As of December 31, 2013, the short-term portion of the restructuring liability of $595 is included in accrued liabilities and the long-term portion of $455 is included in other non-current liabilities in the Consolidated Balance Sheet.