Plant Closure and Consolidation

9 Months Ended

Sep. 30, 2022

Restructuring and Related Activities [Abstract]

Plant Closure and Consolidation

Plant Closure and Consolidation

In the three and nine months ended September 30, 2022, the Company recorded expenses totaling $1.7 million and $7.9 million, respectively, in its Assembly Components segment in connection with its plant closure and consolidation and other activities. For the three months ended September 30, 2022, expenses of $1.7 million were included in Cost of sales. For the nine months ended September 30, 2022, restructuring expenses of $7.6 million were included in Cost of sales and $0.3 million were included in Selling, general and administrative expenses in the Condensed Consolidated Statements of Operations. The Company expects to incur additional restructuring costs of approximately $0.5 million in this segment in the remainder of 2022.

In the three and nine months ended September 30, 2022, the Company recorded expenses totaling $1.4 million and $2.8 million, respectively, in its Engineered Products segment in connection with plant closure and consolidation activities. The expenses are included in Selling, general and administrative expenses in the Condensed Consolidated Statements of Operations, and consisted of severance of $0.0 million and $0.2 million, respectively, and other restructuring activities of $1.4 million and $2.6 million, respectively. The Company expects to incur additional costs of approximately $4.0 million related to the initiatives in this segment in the remainder of 2022.

In connection with its plant closure and consolidation initiatives, during the nine months ended September 30, 2022, the Company sold real estate within its Engineered Products segment for cash proceeds of $3.6 million, resulting in a gain of $2.5 million, and within the Assembly Components segment for cash proceeds of $0.4 million, resulting in a gain of $0.4 million.

In the three and nine months ended September 30, 2021, the Company recorded expenses totaling $1.8 million and $3.1 million, respectively, in its Assembly Components segment in connection with actions taken to close and consolidate its extrusion operations in Tennessee and its fuel operations in Michigan, and to complete other cost-reduction actions in this

segment. The expenses included in Cost of sales in the Condensed Consolidated Statements of Operations were comprised of facility-related costs related to these initiatives of $1.8 million and $2.8 million, respectively. For the nine months ended September 30, 2021, expenses also included $0.3 million, which were included in Selling, general and administrative expenses in the Condensed Consolidated Statement of operations.

In the three and nine months ended September 30, 2021, the Company recorded expenses totaling $0.6 million and $1.9 million, respectively, in its Engineered Products segment in connection with plant closure and consolidation activities. The expenses are included in Selling, general and administrative expenses in the Condensed Consolidated Statements of Operations.