RESTRUCTURING AND OTHER RELATED CHARGES

9 Months Ended

Jun. 30, 2014

Restructuring and Related Activities [Abstract]

In January 2013, Ames announced its intention to close certain manufacturing facilities, and to 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.

Ames 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 $2,500 for one-time termination benefits and other personnel-related costs and $1,500 for facility exit costs. Ames expects $20,000 in capital expenditures in connection with this initiative and, to date, has incurred $7,941 and $15,712 in restructuring costs and capital expenditures, respectively.

HBP recognized $358 and $1,892, respectively, for the three and nine months ended June 30, 2014, and $854 and $6,525, respectively, for the three and nine months ended June 30, 2013 in restructuring and other related exit costs; such charges primarily related to one-time termination benefits, facility and other personnel costs, and asset impairment charges related to the Ames plant consolidation initiatives. The 2013 period also included charges related to a CBP plant consolidation.

In February 2013, Plastics undertook a restructuring project, primarily in Europe, to exit low margin business and to eliminate approximately 80 positions, resulting in restructuring charges of $4,773, primarily related to one-time termination benefits and other personnel costs. The project was completed in 2013.

A summary of the restructuring and other related charges included in the line item “Restructuring and other related charges” in the Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) were recognized as follows:



	Workforce Reduction		Facilities & Exit Costs		Other Related Costs		Non-cash Facility and Other		Total
Amounts incurred in:
Quarter ended December 31, 2012	$	994	$	39	$	75	$	—	$	1,108
Quarter ended March 31, 2013	3,635		683		1,517		3,501		9,336
Quarter ended June 30, 2013	$	641	$	926	$	37	$	—	$	1,604
Nine Months Ended June 30, 2013	$	5,270	$	1,648	$	1,629	$	3,501	$	12,048

Quarter ended December 31, 2013	$	638	$	95	$	109	$	—	$	842
Quarter ended March 31, 2014	495		137		60		—		692
Quarter ended June 30, 2014	$	289	$	47	$	22	$	—	$	358
Nine Months Ended June 30, 2014	$	1,422	$	279	$	191	$	—	$	1,892

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



	Workforce Reduction			Facilities & Exit Costs			Other Related			Total
Accrued liability at September 30, 2013	$	3,057		$	393		$	407		$	3,857
Charges	1,422			279			191			1,892
Payments	(3,151		)	(599		)	(466		)	(4,216		)
Accrued liability at June 30, 2014	$	1,328		$	73		$	132		$	1,533

- Definition

The entire disclosure for restructuring and related activities. Description of restructuring activities such as exit and disposal activities, include facts and circumstances leading to the plan, the expected plan completion date, the major types of costs associated with the plan activities, total expected costs, the accrual balance at the end of the period, and the periods over which the remaining accrual will be settled.

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