RESTRUCTURING

In June 2011, the Company announced Phase IV of the Global Manufacturing Realignment Program. The Company transfered 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 of the transfer going 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 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 are substantially complete as of fourth quarter 2012, with the exception of asset dispositions, which are expected to be completed during 2013. Phase IV charges include severance, asset write-offs, and equipment relocation. Approximately 50 to 60 percent of these charges will be non-cash.

Costs incurred in the twelve months ended December 29, 2012, included in the “Restructuring expense” line of the Company's consolidated statement of income, are as follows:



(In millions)	Water Systems			Fueling Systems		Other		Consolidated
Equipment relocations	0.1			—		—		0.1
Asset write-off	0.3			—		—		0.3
Asset sale	(0.4		)	—		—		(0.4		)
Other	0.2			—		—		0.2
Total	$	0.2		$	—	$	—	$	0.2

Restructuring expenses of $1.6 million and $5.3 million were incurred in 2011 and 2010, respectively, primarily for the Water Systems realignment.

As of December 29, 2012 and December 31, 2011, there was $0.1 million and $0.1 million, respectively, in restructuring reserves primarily for severance.