RESTRUCTURING COSTS

During the third quarter of 2017, the Company initiated restructuring activities at its Aerospace segment to support the ongoing effort of improving capacity utilization and operating efficiency to better position the Company for increased profitability and growth. Such actions include workforce reductions and the consolidation of operations, beginning in the third quarter of 2017 through the planned completion of restructuring activities in the fourth quarter of 2018. The Company currently expects these actions to result in approximately $7.0 million to $8.5 million in pre-tax restructuring and transition charges. The Company anticipates these actions will result in total cost savings of approximately $4.0 million annually beginning in 2019.

The following table summarizes the accrual balances by cost type for the restructuring actions:



	Severance			Other ⁽¹⁾			Total
In thousands
Restructuring accrual balance at December 31, 2017	$	1,172		$	179		$	1,351
Provision	499			314			813
Cash payments	(476		)	(250		)	(726		)
Changes in foreign currency exchange rates	13			8			21
Restructuring accrual balance at March 30, 2018	$	1,208		$	251		$	1,459

⁽¹⁾ Includes costs associated with consolidation of facilities.

The above accrual balance was included in other current liabilities on the Company's Consolidated Balance Sheets. For the three-month fiscal period, the Aerospace segment incurred $0.8 million in costs associated with the restructuring activities described above.

In addition to the restructuring above, the Aerospace segment incurred $0.9 million in costs associated with the termination of certain distributor agreements in the three-month fiscal period ended March 30, 2018. This amount is not included in the table above.

For the three-month fiscal period ended March 30, 2018, restructuring expense, totaling $1.7 million, was included in restructuring costs on the Company's Condensed Consolidated Statements of Operations. Total to date, restructuring expense as of March 30, 2018 was $4.4 million. Included in this expense is approximately $1.0 million of cost that primarily relates to the write-off of inventory for various small order programs that the Company will no longer continue to manufacture as a result of the consolidation of operations.