XML 97 R21.htm IDEA: XBRL DOCUMENT v2.4.1.9
Restructuring
12 Months Ended
Mar. 29, 2015
Restructuring and Related Activities [Abstract]  
Restructuring
Restructuring
The following table shows the provision of the restructuring charges and the liability remaining as of March 29, 2015:
 
 
 
Others
 
 
(in thousands)
HSC Business
 
Cost of Revenues
 
Operating Expenses
 
Total
Balance as of April 1, 2012
$

 
$
1,606

 
$
3,592

 
$
5,198

Provision

 
557

 
5,277

 
5,834

Cash payments

 
(2,137
)
 
(7,233
)
 
(9,370
)
Balance as of March 31, 2013

 
26

 
1,636

 
1,662

Provision

 

 
5,538

 
5,538

Cash payments

 
(26
)
 
(6,536
)
 
(6,562
)
Balance as of March 30, 2014

 

 
638

 
638

Provision
18,305

 

 
1,078

 
19,383

Cash payments
(6,073
)
 

 
(1,421
)
 
(7,494
)
Foreign exchange impact
(2,015
)
 

 

 
(2,015
)
Balance as of March 29, 2015
$
10,217

 
$

 
$
295

 
$
10,512


As part of an effort to streamline operations with changing market conditions and to create a more efficient organization, the Company has undertaken restructuring actions to reduce its workforce and consolidate facilities.  The Company’s restructuring expenses were primarily of: (i) severance and termination benefit costs related to the reduction of its workforce; and (ii) lease termination costs and costs associated with permanently vacating certain facilities. 
HSC Business
In fiscal 2015, the Company prepared a workforce-reduction plan (the Plan) with respect to employees of its HSC business in France and the Netherlands. The Plan sets forth the general parameters, terms and benefits for employee dismissals. The Plan was approved by the French Works Council and Labor Administrator and the related Plan details were communicated to the affected employees in France and the Netherlands. No works council consultation was required in the Netherlands. The Company has not historically offered similar termination benefits as defined in the Plan for these locations. The Plan identified the number of employees to be terminated, their job classification or function, their location and the date that the Plan was expected to be completed. The Plan also established the terms of the benefit arrangement in sufficient detail to enable the employees to determine the type and amount of benefits that they would receive if terminated. In addition, the actions required to complete the Plan indicated that it was unlikely that substantial changes to the Plan would be made after communication to the employees. Accordingly, the Company accrued restructuring charges in accordance with ASC 420, Exit or Disposal Cost Obligations. The restructuring charges recorded to discontinued operations in the Consolidated Statement of Operations were approximately $18.3 million for the fiscal year ended March 29, 2015, for a total of 53 employees in France and the Netherlands combined.
The Company expects to make payments related to these termination benefits and complete the restructuring action by the third quarter of fiscal 2016.
Other
During fiscal 2015, the Company recorded other restructuring charges of $1.1 million and reduced our headcount by 28 employees in multiple reduction in workforce actions. During fiscal 2015, the Company paid $0.8 million related to these actions. As of March 29, 2015, the total accrued balance for employee severance costs related to these restructuring actions was $0.3 million. The Company expects to complete these restructuring actions by the first quarter of fiscal 2016.
During fiscal 2014, the Company recorded restructuring charges of $5.5 million and reduced headcount by 117 employees in multiple reduction in workforce actions. During fiscal 2015 and 2014, the Company paid $0.6 million and $4.9 million related to these actions. As of March 29, 2015, the total accrued balance for employee severance costs related to these restructuring actions was zero.
During fiscal 2013, the Company recorded restructuring charges of $4.3 million for multiple reduction in workforce actions. The Company reduced total headcount by approximately 132 employees with reductions affecting all functional areas and various locations. During fiscal 2013, the Company paid $3.2 million in severance costs associated with these actions. During fiscal 2014, the Company paid $1.1 million in severance costs and completed these actions.
During fiscal 2013, in connection with the Company's divestiture of its video processing product lines in fiscal 2012, the Company recorded an additional $1.1 million in restructuring expenses for employee retention costs. These costs were recorded within discontinued operations. The Company paid the accrued amount in fiscal 2013 and completed this restructuring action.
During fiscal 2013, the Company paid $1.0 million in restructuring expenses for employee retention costs and completed the restructuring action to exit wafer production operations at its Oregon fabrication facility.