Restructuring Costs

9 Months Ended

Jun. 30, 2015

Restructuring Costs

Restructuring Costs

Note 14 — Restructuring Costs

In February 2015, we implemented a plan to restructure our defense services and defense systems businesses into a single business called Cubic Global Defense to better align our defense business organizational structure with customer requirements, increase operational efficiencies and improve collaboration and innovation across the company. The restructuring plan includes a reduction in global employee headcount by approximately 100. We incurred a restructuring charge of $5.4 million in the second quarter of fiscal 2015. The total costs of the restructuring plan are not expected to be significantly greater than the charges incurred to date. Restructuring charges incurred by business segment were as follows (in millions):

	Nine Months Ended					Three Months Ended
	June 30,					June 30,
	2015		2014			2015			2014
Restructuring costs:
Cubic Transportation Systems	$	0.5	$	—		$	0.1		$	—
Cubic Global Defense Services	0.3		—			0.1			—
Cubic Global Defense Systems	4.0		0.3			(0.2		)	—
Unallocated corporate expenses and other	0.6		(0.1		)	0.1			—
Total restructuring costs	$	5.4	$	0.2		$	0.1		$	—

The following table presents a rollforward of our restructuring liability as of June 30, 2015, which is included within accrued compensation and other current liabilities within our Condensed Consolidated Balance Sheets (in millions):

	Restructuring Liability
	Employee Separation
Liability as of September 30, 2014	$	0.8
Accrued costs	5.4
Cash payments	(4.4		)
Liability as of June 30, 2015	$	1.8

Certain restructuring costs are based upon estimates. Actual amounts paid may ultimately differ from these estimates. If additional costs are incurred or recognized amounts exceed costs, such changes in estimates will be recognized when incurred.