RESTRUCTURING

In June 2011, the Company announced Phase IV of the Global Manufacturing Realignment Program. The Company transferred approximately 260,000 annual man hours of manufacturing activity from the Oklahoma City, Oklahoma facility primarily to the Linares, Mexico facility with a small portion transferred to another Oklahoma City based facility. Transfers related to the Oklahoma City facility were substantially complete at the end of the first quarter 2012. The Company also expects to incur miscellaneous expenses associated with realignments and movements of manufacturing and distribution facilities in a variety of international locations, including the relocation to a new manufacturing facility in Joinville, Brazil.

The Company has estimated the pretax charge for Phase IV to be between $2.6 million and $5.2 million, of which $1.2 million to $3.5 million is for closing the Oklahoma City manufacturing facility. Charges related to Phase IV began in the second quarter of 2011 and will substantially end in the fourth quarter 2012 and include severance, pension curtailments, asset write-offs, and equipment relocation. The Company expects approximately 50.0 to 60.0 percent of the charges will be non-cash.

Costs incurred in the first quarter ended March 31, 2012, included in the “Restructuring expense” line of the Company's condensed consolidated statement of income, are as follows:



(In millions)	First Quarter Ended
	March 31, 2012
	Water Systems			Fueling Systems		Other		Consolidated
Equipment relocations	$	0.1		$	—	$	—	$	0.1
Asset write-off	0.2			—		—		0.2
Asset sale	(0.4		)	—		—		(0.4		)
Total	$	(0.1	)	$	—	$	—	$	(0.1	)

Restructuring expense of $0.4 million was incurred in the first quarter ended April 2, 2011, primarily for the Water Systems realignment.

As of March 31, 2012 and April 2, 2011, there were no restructuring reserves.