Restructuring, Integration, and Other Charges

6 Months Ended

Jun. 27, 2020

Restructuring Charges [Abstract]

Restructuring, Integration and Other Charges [Text Block]

Restructuring, Integration, and Other Charges

Restructuring initiatives are due to the company’s continued efforts to lower cost and drive operational efficiency. Integration costs are primarily related to the integration of acquired businesses within the company’s pre-existing business and the consolidation of certain operations. The following table presents the components of the restructuring, integration, and other charges:

	Quarter Ended				Six Months Ended
	June 27, 2020		June 29, 2019		June 27, 2020		June 29, 2019
Restructuring and integration charges - current period actions	$	1,284	$	5,071	$	4,989	$	8,078
Restructuring and integration charges (credits) - actions taken in prior periods	(2,054)		1,424		(533)		1,363
Other charges	1,420		13,417		5,332		22,131
	$	650	$	19,912	$	9,788	$	31,572

Restructuring and Integration Accrual Summary

The restructuring and integration accrual was $6,937 and $9,667 at June 27, 2020 and December 31, 2019, respectively. During the second quarter and first six months of 2020, the company made $2,250 and $6,413 of payments related to restructuring and integration accruals, respectively. Substantially all amounts accrued at June 27, 2020, and all restructuring and integration charges for the first six months of 2020, relate to the termination of personnel and are expected to be spent in cash within two years.

Other Charges

Included in restructuring, integration, and other charges for the second quarter and the first six months of 2020 are other expenses of $1,420 and $5,332, respectively. The following items were included in other charges and credits recorded to restructuring, integration, and other charges for the second quarter and six months ended June 27, 2020:

•personnel charges for the second quarter and first six months of 2020 of $591 and $3,030 related to the operating expense reduction program previously disclosed on July 15, 2019. The accrual related to the operating expense reduction program was $17,314 at June 27, 2020, and all accrued amounts are expected to be paid within five years.

Included in restructuring, integration, and other charges for the second quarter and first six months of 2019 are other expenses of $13,417 and $22,131, respectively. The following items were included in other charges and credits recorded to restructuring, integration, and other charges for the second quarter and six months ended June 29, 2019:

•relocation and other charges associated with centralization efforts to maximize operating efficiencies for the second quarter and first six months of $3,174 and $8,733, respectively.