RESTRUCTURING AND OTHER RELATED CHARGES

12 Months Ended

Sep. 30, 2013

Restructuring and Related Activities [Abstract]

Restructuring and Related Activities Disclosure [Text Block]

NOTE 8 – RESTRUCTURING AND OTHER RELATED CHARGES

In January 2013, ATT announced its intention to close certain of its manufacturing facilities and consolidate affected operations primarily into its Camp Hill and Carlisle, PA locations. The intended actions, to be completed by the end of calendar 2014, will improve manufacturing and distribution efficiencies, allow for in-sourcing of certain production currently performed by third party suppliers, and improve material flow and absorption of fixed costs.

ATT anticipates incurring pre-tax restructuring and related exit costs approximating $8,000, comprised of cash charges of $4,000 and non-cash, asset-related charges of $4,000; the cash charges will include $3,000 for one-time termination benefits and other personnel-related costs and $1,000 for facility exit costs. ATT expects $20,000 in capital expenditures in connection with this initiative and, to date, has incurred $6,553 and $11,937 in restructuring costs and capital expenditures, respectively.

In 2013, 2012 and 2011, HBP recognized $7,739, $874 and $4,497, respectively, in restructuring and other related exit costs. In 2013, restructuring and other related charges primarily related to one-time termination benefits, facility costs, other personnel costs and asset impairment charges related to the ATT and BPC plant consolidation initiatives. In 2012 and 2011, ATT restructuring and other related exit costs primarily related to termination benefits for operating personnel due to the closing of the Bernie, MO facility and other administrative personnel. Over the three years, headcount was reduced by 144.

During 2013, BPC completed the consolidation of its Auburn, Washington facility into its Russia, Ohio facility.

In June 2009, BPC undertook to consolidate its manufacturing facilities. These actions were completed in 2011. CBP incurred total pre-tax exit and restructuring costs approximating $9,031, substantially all of which were cash charges; charges include $1,160 for one-time termination benefits and other personnel costs, $210 for excess facilities and related costs, and $7,661 for other exit costs, primarily in connection with production realignment, and had $10,365 of capital expenditures. The restructuring costs were $3,611 in 2011 and $4,180 in 2010.

During 2013, Plastics Europe undertook to exit low margin businesses and eliminate approximately 80 positions, resulting in a restructuring cash charge of $4,773. These actions were essentially complete at September 30, 2013.

During 2013, Telephonics recognized $750 in restructuring costs in connection with the termination of a facility lease. The facility was vacated as a result of the headcount reductions and changes in organizational structure undertaken by Telephonics in the past two years. In 2012 and 2011, Telephonics recognized $3,815 and $3,046 of restructuring charges primarily related to two separate voluntary early retirement plan and other restructuring costs, reducing headcount by 185 over the two year period.

A summary of the restructuring and other related charges included in the line item “Restructuring and other related charges” in the Consolidated Statements of Operations recognized for 2011, 2012 and 2013 were as follows:

	Workforce Reduction		Facilities & Exit Costs		Other Related Costs		Non-cash Facility and Other		Total
Amounts incurred in the year ended:
September 30, 2011	$	3,789	$	1,809	$	1,945	$	—	$	7,543
September 30, 2012		4,204		379		106		—		4,689
September 30, 2013		5,649		1,668		1,629		4,316		13,262

The activity in the restructuring accrual recorded in Accrued liabilities consisted of the following:

	Workforce Reduction			Facilities & Exit Costs			Other Related Costs			Total
Accrued liability at September 30, 2011	$	2,657		$	—		$	—		$	2,657
Charges		4,204			379			106			4,689
Payments		(3,361	)		(239	)		(106	)		(3,706	)
Accrued liability at September 30, 2012	$	3,500		$	140		$	—		$	3,640
Charges		5,649			1,668			1,629			8,946
Payments		(6,092	)		(1,415	)		(1,222	)		(8,729	)
Accrued liability at September 30, 2013	$	3,057		$	393		$	407		$	3,857