Note 4 - Restructuring Activities

9 Months Ended

Sep. 30, 2020

Notes to Financial Statements

Restructuring and Related Activities Disclosure [Text Block]

4.

     Restructuring Activities

On

January 18, 2019,

the Company announced a planned suspension of its Air Pollution Control (“APC”) business operation in China. This action is part of Fuel Tech's ongoing operational improvement initiatives designed to prioritize resource allocation, reduce costs, and drive profitability for the Company on a global basis. The transition associated with the suspension of the APC business which has taken place through

September 

30,

2020

includes staff rationalization and reduction, supplier and partner engagement, and the monetization of certain assets. The remaining transition activities include the execution of the remaining activities to satisfy the requirements for the remaining APC projects in China (with a backlog totaling approximately

$25

) in addition to collection efforts for the remaining accounts receivable.

The following table presents our revenues and net loss which includes the Restructuring charge line item within the Condensed Statements of Operations for

2020

and

2019

in China as follows:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2020			2019			2020			2019
Total revenues	$	6		$	—		$	11		$	311
Net loss	$	(73	)	$	(80	)	$	(31	)	$	(1,469	)

Total assets primarily consist of cash, accounts receivable, contract assets, prepaid expenses and other current assets. Total liabilities consist of accounts payable and certain accrued liabilities.

The following table presents net assets in China as follows:

	As of
	September 30, 2020		December 31, 2019
Total assets	$	3,134	$	4,249
Total liabilities		380		399
Total net assets	$	2,754	$	3,850

The Company incurred

$0

in the

three

and

nine

 month periods ending

September 

30,

2020

and

$0

and

$625

during the

three

and

nine

 month periods ending

September 

30,

2019

 for severance and lease cancellation costs related to the suspension of the APC business in China.

There is

no

liability for restructuring activities for the

three

and

nine

 months ending

September 

30,

2020.

The following is a reconciliation of the accrual for the workforce reduction that is included within the "Accrued Liabilities - Employee Compensation" line of the consolidated balance sheets for the

three

and

nine

 months ending

September 

30,

2020

and

2019:

	Three Months Ended September 30,					Nine Months Ended September 30,
	2020		2019			2020		2019
Restructuring liability at beginning of period	$	—	$	155		$	—	$	65
Amounts expensed		—		—			—		625
Amounts paid		—		(155	)		—		(690	)
Restructuring liability at end of period	$	—	$	—		$	—	$	—