NOTE 7 – RESTRUCTURING CHARGES

The following is a reconciliation of the beginning and ended restructuring reserve balances for the years ended October 31, 2013, 2012 and 2011 (Dollars in millions):


	Cash Charges						Non-cash Charges
	Employee Separation Costs			Other costs			Asset Impairments			Inventory Write-down		Total
Balance at October 31, 2011	$	11.8		$	7.6		$	0.2		$	—	$	19.6
Costs incurred and charged to expense		13.4			9.8			10.2			—		33.4
Costs paid or otherwise settled		(19.0	)		(15.6	)		(10.4	)		—		(45.0	)

Balance at October 31, 2012	$	6.2		$	1.8		$	—		$	—	$	8.0

Costs incurred and charged to expense		2.8			2.0			4.0			—		8.8
Costs paid or otherwise settled		(7.2	)		(2.6	)		(4.0	)		—		(13.8	)

Balance at October 31, 2013	$	1.8		$	1.2		$	—		$	—	$	3.0

The focus for restructuring activities in 2013 was on the rationalization of operations and contingency actions in Rigid Industrial Packaging & Services. During 2013, the Company recorded restructuring charges of $8.8 million, consisting of $2.8 million in employee separation costs, $4.0 million in asset impairments and $2.0 million in other restructuring costs, primarily consisting of lease termination costs and professional fees. There were no plants closed in 2013, but there was a total of 278 employees severed throughout 2013 as part of the Company’s restructuring efforts.

The following is a reconciliation of the total amounts expected to be incurred from open restructuring plans or plans that are being formulated and have not been announced as of the date of this From 10-K. Remaining amounts expected to be incurred were $6.6 million and $12.3 million as of October 31, 2013 and 2012, respectively. The decrease was due to the realization of expenses from plans formulated in prior periods offset by the formation of new plans during the period. (Dollars in millions):


	Amounts expected to be incurred		Amounts Incurred in 2013		Amounts remaining to be incurred
Rigid Industrial Packaging & Services:
Employee separation costs	$	5.1	$	2.8	$	2.3
Asset impairments		3.9		3.9		—
Other restructuring costs		4.8		1.5		3.3

		13.8		8.2		5.6
Flexible Products & Services:
Employee separation costs		0.8		—		0.8
Asset impairments		0.1		0.1		—
Other restructuring costs		0.7		0.5		0.2

		1.6		0.6		1.0

	$	15.4	$	8.8	$	6.6

The focus for restructuring activities in 2012 was on the consolidation of operations in the Flexible Products & Services segment as part of the ongoing implementation of the Greif Business System and rationalization of operations and contingency actions in Rigid Industrial Packaging & Services. During 2012, the Company recorded restructuring charges of $33.4 million, consisting of $13.4 million in employee separation costs, $10.2 million in asset impairments and $9.8 million in other restructuring costs, primarily consisting of lease termination costs and professional fees. Four plants in the Rigid Industrial Packaging & Services segment were closed. There were a total of 513 employees severed throughout 2012 as part of the Company’s restructuring efforts.

The focus for restructuring activities in 2011 was on integration of recent acquisitions in the Rigid Industrial Packaging & Services and Flexible Products & Services segments as well as the implementation of certain cost-cutting measures. During 2011, the Company recorded restructuring charges of $30.5 million, consisting of $13.3 million in employee separation costs, $4.5 million in asset impairments and $12.7 million in other restructuring costs, primarily consisting of lease termination costs, professional fees, relocation costs and other costs. Two plants in the Rigid Industrial Packaging & Services segment were closed. There were a total of 257 employees severed throughout 2011 as part of the Company’s restructuring efforts.