Restructuring Activity

In April 2015, the Company announced a restructuring plan consisting of workforce reductions and the consolidation of facilities in locations deemed to have redundant operations. In the three months and nine months ended September 30, 2016, the Company incurred costs associated with the April 2015 restructuring plan which consisted of employee termination and related benefits, moving costs, professional fees and losses on the disposal of fixed assets. In addition, the Company recorded charges of $452 for inventory moved from consolidated plants that was subsequently identified to be scrapped. The inventory charge is reported in cost of materials in the Condensed Consolidated Statement of Operations and Comprehensive Loss for the nine months ended September 30, 2016.

In the first quarter of 2016, the Company closed its Houston and Edmonton facilities and sold all the equipment at these facilities to an unrelated third party. Restructuring activities associated with the strategic decision to close these facilities included employee termination and related benefits, lease termination costs, moving costs associated with exit from the closed facilities, and professional fees at the closed facilities.

As a result of its restructuring activities, the Company incurred the following restructuring expenses:



	Successor		Predecessor
	September 1, 2017 Through September 30, 2017		July 1, 2017 Through August 31, 2017		Three Months Ended September 30, 2016
	September 1, 2017 Through September 30, 2017		July 1, 2017 Through August 31, 2017		Three Months Ended September 30, 2016
Employee termination and related benefits	$	—	$	140	$	267
Moving costs associated with plant consolidations	—		212		52
Professional fees	—		46		593
Total	$	—	$	398	$	912



	Successor		Predecessor
	September 1, 2017 Through September 30, 2017		January 1, 2017 Through August 31, 2017		Nine Months Ended September 30, 2016
	September 1, 2017 Through September 30, 2017		January 1, 2017 Through August 31, 2017		Nine Months Ended September 30, 2016
Employee termination and related benefits	$	—	$	185	$	945
Lease termination costs	—		—		6,706
Moving costs associated with plant consolidations	—		305		4,447
Professional fees	—		76		1,323
Loss on disposal of fixed assets	—		—		1,253
Total	$	—	$	566	$	14,674

Restructuring reserve activity for the periods January 1, 2017 through August 31, 2017 and September 1, 2017 through September 30, 2017 is summarized below:



	Predecessor
			Period Activity
	Balance January 1, 2017		Charges (gains)		Cash receipts (payments)			Non-cash activity		Balance August 31, 2017
Employee termination and related benefits	$	3,627	$	185	$	(261	)	$	—	$	3,551
Lease termination costs	823		—		(496		)	374		701
Moving costs associated with plant consolidations	—		305		(305		)	—		—
Professional fees	—		76		(76		)	—		—
Total	$	4,450	$	566	$	(1,138	)	$	374	$	4,252



	Successor
			Period Activity
	Balance September 1, 2017		Charges (gains)		Cash receipts (payments)			Non-cash activity		Balance September 30, 2017
Employee termination and related benefits ^(a)	$	3,551	$	—	$	(20	)	$	—	$	3,531
Lease termination costs^(b)	701		—		(16		)	—		685
Total	$	4,252	$	—	$	(36	)	$	—	$	4,216

^(a)As of September 30, 2017 (Successor), the short-term portion of employee termination and related benefits of $340 is included in accrued and other current liabilities in the Condensed Consolidated Balance Sheet and the long-term liability associated with the Company's withdrawal from a multi-employer pension plan of $3,191 is included in other noncurrent liabilities in the Condensed Consolidated Balance Sheet.

^(b)Payments on certain of the lease obligations are scheduled to continue until 2020. 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 September 30, 2017 (Successor), the short-term portion of the lease termination costs of $304 is included in accrued and other current liabilities and the long-term portion of the lease termination costs of $381 is included in other noncurrent liabilities in the Condensed Consolidated Balance Sheet.