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Restructuring
9 Months Ended
Sep. 30, 2022
Restructuring and Related Activities [Abstract]  
Restructuring

4. Restructuring

In March 2019, the Company committed to implementing a restructuring plan involving its Ameri-Kart Corp. subsidiary (“Ameri-Kart”), a rotational molding business within the Material Handling Segment. The Company is consolidating certain manufacturing operations into a new facility in Bristol, Indiana (the “Ameri-Kart Plan”). In December 2019, as amended in March 2021, Ameri-Kart entered into a lease agreement for a newly constructed manufacturing and distribution facility in Bristol, Indiana. The building became substantially complete in March 2021 as defined in the lease agreement, and the 15-year finance lease of the new Bristol facility commenced. In connection with the lease agreement, Ameri-Kart agreed to sell its original Bristol facility and lease it back for a period of 5 years. During the second quarter of 2021, the sale of the original facility for net proceeds of $2.8 million was completed, which resulted in a gain of $1.0 million, and the lease back commenced. As of September 30, 2022, the new Bristol facility is in service, though minor remaining costs are expected through the fourth quarter of 2022 for reassembly of certain pieces of machinery that had been moved from other locations, such as from the former manufacturing facility in Cassopolis, Michigan that was closed at December 31, 2021.

The Ameri-Kart Plan is expected to be substantially completed in 2022 and total restructuring costs expected to be incurred are approximately $1.9 million, primarily related to equipment relocation and facility shut down costs, which due to their nature will be expensed when incurred. The Company incurred $0.3 million and $0.7 million of restructuring charges during the quarter and nine months ended September 30, 2022, respectively, which were recorded within Cost of sales and $0.3 million related to loss on disposal of fixed assets during the nine months ended September 30, 2022. The accrual for unpaid restructuring expenses at December 31, 2021 was $0.5 million and $0.1 million was accrued at September 30, 2022. The Company incurred $0.1 million and $0.2 million of restructuring charges during the quarter and nine months ended September 30, 2021, respectively, which were recorded within Cost of sales.