Consolidation Program and Restructuring Charge

12 Months Ended

Dec. 29, 2013

Consolidation Program and Restructuring Charge [Abstract]

Consolidation Program and Restructuring Charge

(18) Consolidation Program and Restructuring Charge

In the fourth quarter of 2012 the Company announced a multi-year cost savings initiative. This initiative includes workforce reductions, facility consolidations, process improvements and other operating cost savings. The Company has incurred pre-tax restructuring and related pension curtailment and settlement charges of $79,748 in connection with this initiative. Of this amount, $43,702 was recorded in 2013 and $36,046 was recorded in the fourth quarter of 2012. The 2013 charges include $34,980 of severance costs, $6,993 in non-cash pension curtailment and settlement charges and $1,729 of costs associated with exiting a contractual obligation. The 2013 severance charges primarily relate to a voluntary retirement program for certain eligible employees in the United States. The 2012 charges included severance costs of $34,888 related to headcount reductions and $1,157 of facility costs. Of the amounts recognized in 2013 and 2012, substantially all of the amount was included in accrued liabilities at December 29, 2013 and December 30, 2012.

These charges were recorded in the consolidated statements of operations as follows:

	2013		2012
Cost of sales	$	10,154		-
Product development		4,100		8,470
Selling, distribution and administration		29,448		27,576
	$	43,702		36,046

The following is a summary of the severance and other personnel charges related to the Company's cost savings initiative included in accrued liabilities:

Balance at December 30, 2012	$	34,888
2013 Charges		34,980
Payments		(32,268	)
Balance at December 29, 2013	$	37,600