RESTRUCTURING AND RELATED COSTS

During the fourth quarter of fiscal year 2017, we initiated a series of Test workforce reductions and facility closures intended to increase organizational effectiveness, gain manufacturing efficiencies and provide cost savings that can be reinvested in our growth initiatives. As a result, in the three months ended December 30, 2017, we recorded $93 of pre-tax severance and related expense and $162 of pre-tax facility closure costs. As of December 30, 2017, we have incurred a total of $3,177 of pre-tax expense, including $2,992 and $185 of pre-tax expense related to severance and facility closure costs, respectively. For the remainder of fiscal year 2018, we expect to incur $1,000 to $3,000 of additional pre-tax severance and related expenses and facility closure costs related to these actions. The majority of the expenses are expected to be paid in fiscal year 2018.

During the fourth quarter of fiscal year 2017, in an effort to reduce costs and create economic efficiencies in Sensors, we initiated plans to close our Machida, Japan sales office in the second quarter of fiscal year 2018. In the three months ended December 30, 2017, we recorded an immaterial adjustment to the severance and related expense reported in the fourth quarter of fiscal year 2017. As of December 30, 2017, we have incurred a total of $112 of pre-tax severance and related expense. We expect to incur additional pre-tax severance and related expense of approximately $74. The majority of the expenses are expected to be paid in fiscal year 2018.

Fiscal Year 2016 Restructuring

During fiscal year 2016, we initiated plans to reduce costs in Sensors by closing our Machida, Japan manufacturing facility in the third quarter of fiscal year 2017. We incurred $0 and $563 in the three months ended December 30, 2017 and December 31, 2016, respectively. As of December 30, 2017, we have incurred a total of $1,964 of pre-tax expense, including $1,444 and $520 related to severance and facility closure costs, respectively. The remaining severance and facility closing costs are expected to be paid during the third quarter of fiscal year 2018.

Fiscal Year 2014 Restructuring

During fiscal year 2014, we initiated workforce and other cost reduction actions at certain of our Test locations in the U.S. and Europe. No restructuring expenses were recognized during the three months ended December 30, 2017 or December 31, 2016 related to these restructuring actions.

Restructuring expense included in our Consolidated Statements of Income for all restructuring actions was as follows:



	Three Months Ended
	December 30, 2017								December 31, 2016
	Test		Sensors			Total			Test		Sensors		Total
Cost of sales	$	120	$	—		$	120		$	—	$	326	$	326
Selling and marketing	—		(9		)	(9		)	—		81		81
General and administrative	135		—			135			—		156		156
Research and development	—		—			—			—		—		—
Total restructuring expense	$	255	$	(9	)	$	246		$	—	$	563	$	563

Restructuring expense accruals included in the Consolidated Balance Sheets for all restructuring actions were as follows:



	2017						2016			2014
	Test			Sensors			Sensors			Test			Total
Balance, September 30, 2017	$	2,899		$	120		$	209		$	734		$	3,962
Restructuring expense	255			(9		)	—			—			246
Payments	(662		)	—			—			(99		)	(761		)
Other adjustments	(41		)	—			—			—			(41		)
Currency translation	—			—			(1		)	9			8
Balance, December 30, 2017	$	2,451		$	111		$	208		$	644		$	3,414

Restructuring expense accruals included in the Consolidated Balance Sheets were as follows:



	December 30, 2017		September 30, 2017
Accrued payroll and related costs	$	2,914	$	3,485
Other accrued liabilities	218		98
Other long-term liabilities	282		379
Total severance and related costs	$	3,414	$	3,962