Restructuring Charges and Acquisition Costs

6 Months Ended

Mar. 31, 2012

Restructuring Charges and Acquisition Costs [Abstract]

Restructuring Charges and Acquisition Costs

(4) Restructuring Charges and Acquisition Costs

Restructuring charges. Subsequent to the Ivy Acquisition, the Company elected to consolidate certain of its welded wire reinforcement operations in order to reduce its operating costs, which involved the closure of facilities in Wilmington, Delaware and Houston, Texas. These actions were taken in response to the close proximity of Ivy’s facilities in Hazleton, Pennsylvania and Houston, Texas to the Company’s existing facilities in Wilmington, Delaware and Dayton, Texas. The Houston plant closure was completed in December 2010 and the Wilmington plant closure was completed in May 2011.

Following are summaries of the restructuring activities and associated costs that were incurred during the three- and six-month periods ended March 31, 2012 and April 2, 2011:

(In thousands)	Severance and other  employee costs			Asset impairment charges			Facility closure  costs			Equipment relocation  costs			Total
2012
Liability as of October 1, 2011	$	65		$	—		$	77		$	112		$	254
Restructuring charges		(40	)		(11	)		139			511			599
Cash payments		(25	)		—			(216	)		(456	)		(697	)
Non-cash charges		—			11			—			—			11
Liability as of December 31, 2011	$	—		$	—		$	—		$	167		$	167
Restructuring charges		—			—			—			203			203
Cash payments		—			—			—			(208	)		(208	)
Liability as of March 31, 2012	$	—		$	—		$	—		$	162		$	162
2011
Liability as of October 2, 2010	$	—		$	—		$	—		$	—		$	—
Restructuring charges		979			2,868			533			10			4,390
Cash payments		(310	)		—			(75	)		(10	)		(395	)
Non-cash charges		—			(2,868	)		—			—			(2,868	)
Liability as of January 1, 2011	$	669		$	—		$	458		$	—		$	1,127
Restructuring charges		1,176			584			224			229			2,213
Cash payments		(1,486	)		—			(367	)		(145	)		(1,998	)
Non-cash charges		—			(584	)		—			—			(584	)
Liability as of April 2, 2011	$	359		$	—		$	315		$	84		$	758

During the six-month period ended March 31, 2012, all of the remaining severance liabilities were satisfied and the final proceeds were received from the sale of previously impaired machinery and equipment, which have been included in asset impairment charges. As of March 31, 2012, the Company recorded restructuring liabilities amounting to $162,000 on its consolidated balance sheet, including $54,000 in accounts payable and $108,000 in accrued expenses.

As of April 2, 2011, the Company recorded restructuring liabilities amounting to $758,000 on its consolidated balance sheet, including $84,000 in accounts payable and $674,000 in accrued expenses.

Acquisition costs. During the three- and six-month periods ended April 2, 2011, the Company recorded $768,000 and $3.5 million, respectively, of acquisition-related costs associated with the Ivy Acquisition for advisory, accounting, legal and other professional fees. There were no acquisition-related costs incurred during the three- and six-month periods ended March 31, 2012.