Restructuring and Related Charges

3 Months Ended

Mar. 30, 2013

Restructuring and Related Activities Disclosure [Text Block]

6.    Restructuring and Related Charges

In 2011, we evaluated our overall warehousing and distribution requirements for our Stanley Furniture product line and concluded only a portion of the leased warehouse space in Stanleytown, Virginia would be required.  Therefore, a restructuring charge for future lease obligations of $499,000 was taken in 2011, and an additional charge of $418,000 was taken in the 2^nd quarter of 2012 for the portions of the Stanleytown warehouse facility no longer used.

In 2012, we made the strategic decision to consolidate our corporate office and High Point showroom into a single multi-purpose facility in High Point, North Carolina. During the current quarter, we recorded $260,000 in restructuring charges in selling, general and administrative expenses for severance and relocation costs associated with this move and consolidation.

Restructuring accrual activity for the three months ending March 30, 2013 was as follows:

	Lease Obligations		Severance and other termination costs		.	Total
Accrual at January 1, 2013	$	732			.	$	732
Charges to expense			$	260			260
Cash payments		(61)		(54)			(115)
Accrual at March 30, 2013	$	671	$	206		$	877

Restructuring accrual activity for the three months ending March 31, 2012 was as follows:

	Lease Obligations		Severance and other termination costs		Other Cost		Total
Accrual at January 1, 2012	$	499	$	57	$	50	$	606
Charges and adjustments to expense				49		(40)		9
Cash payments		(31)		(52)		(10)		(93)
Accrual at March 31, 2012	$	468	$	54	$	-	$	522

The restructuring accrual is classified as “Other accrued expenses”.