Severance and Exit Costs

9 Months Ended

Dec. 31, 2011

Severance and Exit Costs [Abstract]

SEVERANCE AND EXIT COSTS

NOTE D – SEVERANCE AND EXIT COSTS

Fiscal 2012 workforce reduction: The Fiscal 2012 workforce reduction plan (Fiscal 2012 Plan) was announced in July 2011 and consisted of a workforce reduction of approximately 400 positions.

This action is part of the Company’s efforts to reallocate resources and divest nonstrategic parts of the business. The total amounts incurred with respect to severance under the Fiscal 2012 Plan were $44 million, of which approximately $27 million is included in “Selling and marketing,” $9 million is included in “Product development and enhancements,” $5 million is included in “General and administrative,” $2 million is included in “Costs of licensing and maintenance” and $1 million is included in “Cost of professional services” on the Condensed Consolidated Statements of Operations. Actions under the Fiscal 2012 Plan are expected to be substantially completed by the end of fiscal year 2012.

Fiscal 2010 restructuring plan: The Fiscal 2010 restructuring plan (Fiscal 2010 Plan) was announced in March 2010 and consisted of a workforce reduction of approximately 1,000 positions and global facilities consolidations. These actions were intended to better align the Company’s cost structure with the skills and resources required to more effectively pursue opportunities in the marketplace and execute the Company’s long-term growth strategy. The total amounts incurred with respect to severance and facilities abandonment under the Fiscal 2010 Plan were $43 million and $2 million, respectively. Actions under the Fiscal 2010 Plan were substantially completed by the end of fiscal year 2011.

Fiscal 2007 restructuring plan: In August 2006, the Company announced the Fiscal 2007 restructuring plan (Fiscal 2007 Plan) to significantly improve the Company’s expense structure and increase its competitiveness. The Fiscal 2007 Plan consisted of a workforce reduction of approximately 3,100 employees, global facilities consolidations and other cost reductions. The total amounts incurred with respect to severance and facilities abandonment under the Fiscal 2007 Plan were $220 million and $119 million, respectively. Actions under the Fiscal 2007 Plan were substantially completed by the end of fiscal year 2010.

Accrued severance and exit costs at December 31, 2011 and changes in the accruals during the nine months ended December 31, 2011 and 2010 associated with the Fiscal 2012, Fiscal 2010 and Fiscal 2007 Plans were as follows:

Fiscal 2012 Plan	Severance
	(in millions)
Accrued balance at March 31, 2011	$	—
Activity for the nine months ended December 31, 2011
Expense		49
Change in estimate		(5	)
Payments		(25	)
Accretion and other		—
Accrued balance at December 31, 2011	$	19

Fiscal 2010 Plan	Severance			Facilities Abandonment
	(in millions)
Accrued balance at March 31, 2010	$	46		$	2
Activity for the nine months ended December 31, 2010
Change in estimate		(3	)		—
Payments		(34	)		—
Accretion and other		(1	)		—
Accrued balance at December 31, 2010	$	8		$	2
Accrued balance at March 31, 2011	$	4		$	1
Activity for the nine months ended December 31, 2011
Change in estimate		(1	)		—
Payments		(3	)		—
Accrued balance at December 31, 2011	$	—		$	1

Fiscal 2007 Plan	Severance			Facilities Abandonment
	(in millions)
Accrued balance at March 31, 2010	$	8		$	60
Activity for the nine months ended December 31, 2010
Change in estimate		1			1
Payments		(4	)		(14	)
Accretion and other		—			1
Accrued balance at December 31, 2010	$	5		$	48
Accrued balance at March 31, 2011	$	4		$	46
Activity for the nine months ended December 31, 2011
Change in estimate		—			—
Payments		(2	)		(8	)
Accretion and other		—			1
Accrued balance at December 31, 2011	$	2		$	39

The severance liability is included in the “Accrued salaries, wages and commissions” line item on the Condensed Consolidated Balance Sheets. The facilities abandonment liability is included in the “Accrued expenses and other current liabilities” and “Other noncurrent liabilities” line items on the Condensed Consolidated Balance Sheets. The Fiscal 2010 Plan and Fiscal 2007 Plan costs are included in the “Other expenses (gains), net” line item on the Condensed Consolidated Statements of Operations.

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