Severance and Exit Costs

12 Months Ended

Mar. 31, 2017

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.

Accrued severance and exit costs and changes in the accruals for fiscal years 2017, 2016 and 2015 were as follows:



(in millions)	Accrued Balance at March 31, 2016		Expense		Change in Estimate			Payments			Accretion and Other			Accrued Balance at March 31, 2017
Severance charges	$	3	$	—	$	(1	)	$	(1	)	$	—		$	1
Facility exit charges	16		—		—			(4		)	(1		)	11
Total accrued liabilities	$	19												$	12



(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

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.