Note 3 - Restructuring

6 Months Ended

Apr. 02, 2022

Notes to Financial Statements

Restructuring and Related Activities Disclosure [Text Block]

(3) Restructuring

On March 16, 2020, we purchased substantially all of the assets of Strand-Tech Manufacturing, Inc. (“STM”) for an adjusted purchase price of $19.4 million, reflecting certain post-closing adjustments (the “STM Acquisition”). STM was a leading manufacturer of prestressed concrete strand (“PC strand”) for concrete construction applications. We acquired, among other assets, STM’s accounts receivable, inventories, production equipment and facility located in Summerville, South Carolina, and assumed certain of its accounts payable and accrued liabilities.

In connection with the STM acquisition, we elected to consolidate our PC strand operations through the closure of the Summerville facility and the redeployment of its equipment to our other three PC strand production facilities located in Gallatin, Tennessee; Houston, Texas; and Sanderson, Florida. Operations at the Summerville facility ceased during the third quarter of fiscal 2020.

Following is a summary of the restructuring activity during the three- and six-month periods ended April 2, 2022 and April 3, 2021:

(In thousands)	Employee Separation			Equipment Relocation			Facility Closure			Asset			Gain on Sale
	Costs			Costs			Costs			Impairments			of Property			Total
2022
Liability as of October 2, 2021	$	-		$	-		$	10		$	-		$	-		$	10
Restructuring charges		-			-			47			-			-			47
Cash payments		-			-			(53	)		-			-			(53	)
Non-cash charges		-			-			-			-			-			-
Liability as of January 1, 2022		-			-			4			-			-			4
Restructuring charges (recoveries)		-			-			257			-			(622	)		(365	)
Cash payments		-			-			(261	)		-			-			(261	)
Non-cash charges		-			-			-			-			622			622
Liability as of April 2, 2022	$	-		$	-		$	-		$	-		$	-		$	-
2021
Liability as of October 3, 2020	$	-		$	20		$	151		$	-		$	-		$	171
Restructuring charges		13			88			552			4			-			657
Cash payments		(13	)		(95	)		(669	)		-			-			(777	)
Non-cash charges		-			-			-			(4	)		-			(4	)
Liability as of January 2, 2021		-			13			34			-			-			47
Restructuring charges		-			286			259			-			-			545
Cash payments		-			(299	)		(266	)		-			-			(565	)
Non-cash charges		-			-			-			-			-			-
Liability as of April 3, 2021	$	-		$	-		$	27		$	-		$	-		$	27

We do not expect to incur any additional restructuring charges (recoveries) related to the consolidation of our PC strand operations.