Severance and Exit Costs

12 Months Ended

Mar. 31, 2016

Restructuring and Related Activities [Abstract]

Note 4 — Severance and Exit Costs

Fiscal Year 2015 Severance Actions: During the fourth quarter of fiscal year 2015, the Company committed to and initiated severance actions (Fiscal 2015 Severance Actions) to further improve efficiencies in its operations and align its business with strategic objectives and cost savings initiatives. These actions comprised the termination of approximately 690 employees and resulted in a charge of approximately $40 million during the fourth quarter of fiscal year 2015. The Fiscal 2015 Severance Actions were substantially completed by the first quarter of fiscal year 2016.

Fiscal Year 2014 Rebalancing Plan: In fiscal year 2014, the Company's Board of Directors (the Board) approved and committed to a rebalancing plan (Fiscal 2014 Plan) to better align its business priorities. This included the termination of approximately 1,900 employees and global facilities consolidations. Costs associated with the Fiscal 2014 Plan were presented in “Other expenses, net” in the Company’s Consolidated Statements of Operations. The total amount incurred under the Fiscal 2014 Plan was approximately $187 million. Severance and facility consolidation actions under the Fiscal 2014 Plan were substantially completed by the end of fiscal year 2014.

Accrued severance and exit costs and changes in the accruals for fiscal years 2016, 2015 and 2014 were as follows:



(in millions)	Accrued Balance at March 31, 2015		Expense		Change in Estimate			Payments			Accretion and Other		Accrued Balance at March 31, 2016
Severance charges	$	28	$	—	$	(3	)	$	(22	)	$	—	$	3
Facility exit charges	21		—		—			(5		)	—		16
Total accrued liabilities	$	49											$	19



(in millions)	Accrued Balance at March 31, 2014		Expense		Change in Estimate			Payments			Accretion and Other			Accrued Balance at March 31, 2015
Severance charges	$	55	$	60	$	(7	)	$	(77	)	$	(3	)	$	28
Facility exit charges	29		—		—			(9		)	1			21
Total accrued liabilities	$	84												$	49



(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

The balances at March 31, 2016 and 2015 include a severance accrual of approximately $2 million and $5 million, respectively, for plans and actions prior to the Fiscal 2015 Severance Actions.

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.