Severance and Exit Costs

12 Months Ended

Mar. 31, 2014

Restructuring and Related Activities [Abstract]

Severance and Exit Costs

Note 4 — Severance and Exit Costs

Fiscal Year 2014 Rebalancing Plan: In May 2013, the Company's Board of Directors approved a rebalancing plan (Fiscal 2014 Plan) to better align its business priorities. This included a charge of approximately $150 million and comprised the termination of approximately 1,200 employees and global facilities consolidations. In March 2014, the Company’s Board of Directors approved an additional pre-tax rebalancing charge of approximately $40 million relating to the Fiscal 2014 Plan bringing the total pre-tax rebalancing authorized charge to approximately $190 million (including severance costs of approximately $168 million for approximately 1,800 employees and global facilities consolidation costs of approximately $22 million). The total amount incurred for severance and facility exit costs under the Fiscal 2014 Plan for fiscal year 2014 was approximately $149 million and $22 million, respectively, and is presented in “Other (gains) expenses, net” in the Company's Consolidated Statement of Operations. The Fiscal 2014 Plan included streamlining the Company’s sales structure to eliminate redundancies. Severance and facility consolidation actions under the Fiscal 2014 Plan were substantially completed by the end of fiscal year 2014.

Fiscal Year 2012 Workforce Reduction Plan: The fiscal year 2012 workforce reduction plan (Fiscal 2012 Plan) was announced in July 2011 and consisted of a workforce reduction of approximately 400 positions. The total amount incurred for severance under the Fiscal 2012 Plan was $40 million. Actions under the Fiscal 2012 Plan were substantially completed by March 31, 2012.

Accrued severance and exit costs and changes in the accruals for fiscal years 2014, 2013 and 2012 were as follows:

(in millions)	Accrued Balance at March 31, 2013		Expense		Change in Estimate			Payments			Accretion and Other			Accrued Balance at March 31, 2014
Severance charges	$	16	$	160	$	(12	)	$	(113	)	$	4		$	55
Facility exit charges	23		22		—			(13		)	(3		)	29
Total accrued liabilities	$	39												$	84

(in millions)	Accrued Balance at March 31, 2012		Expense		Change in Estimate			Payments			Accretion and Other			Accrued Balance at March 31, 2013
Severance charges	$	13	$	18	$	(6	)	$	(9	)	$	—		$	16
Facility exit charges	40		—		—			(13		)	(4		)	23
Total accrued liabilities	$	53												$	39

(in millions)	Accrued Balance at March 31, 2011		Expense		Change in Estimate			Payments			Accretion and Other		Accrued Balance at March 31, 2012
Severance charges	$	8	$	49	$	(8	)	$	(36	)	$	—	$	13
Facility exit charges	47		—		—			(11		)	4		40
Total accrued liabilities	$	55											$	53

Balances at March 31, 2014 include severance accruals of approximately $3 million and facility exit accruals of approximately $14 million for plans and actions prior to fiscal year 2014.

The severance liabilities are included in “Accrued salaries, wages and commissions” in the Consolidated Balance Sheets. The facility exit liabilities are included in “Accrued expenses and other current liabilities” and “Other noncurrent liabilities” in the Consolidated Balance Sheets.

Accretion and other includes accretion of the Company’s lease obligations related to facility exits as well as changes in the assumptions related to future sublease income. These costs are included in “General and administrative” expense in the Consolidated Statements of Operations.