13. Severance and Related Costs

During Fiscal year 2014, the Company initiated workforce and other cost reduction actions at certain of its locations in the U.S. and Europe. As a result of these cost reduction actions, the Company incurred severance and related costs of $4.3 million for the first quarter ended December 28, 2013.

The following table summarizes the severance and related costs included in the Company’s Consolidated Statements of Income for the first quarter ended December 27, 2014 and December 28, 2013:



	Three Fiscal Months Ended
		December 27,		December 28,
		2014		2013
	(expressed in thousands)

Cost of sales	$	-	$	2,542
Selling and marketing		-		810
General and administrative		-		900
Total severance and related costs	$	-	$	4,252

The following table summarizes the severance and related costs included in the Company’s December 27, 2014 and September 27, 2014 Consolidated Balance Sheet:


		December 27,		September 27,
		2014		2014
	(expressed in thousands)

Accrued payroll and related costs	$	1,215	$	1,567
Defined benefit pension plan obligation		-		26
Other long-term liabilities		1,342		1,783
Total severance and related costs	$	2,557	$	3,376