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Supplemental Financial Information
 3 Months Ended
Mar. 31, 2022
Supplemental Income Statement Elements [Abstract]  
Supplemental Financial Information Supplemental Financial Information
Restructuring and Impairment Charges
The components of “Restructuring and impairment charges” line item in the condensed consolidated statements of operations, which contains restructuring charges and related expenses, as well as impairment charges, were as follows:
Three Months Ended
(Dollars in thousands)March 31, 2022March 31, 2021
Restructuring charges
Manufacturing footprint optimization$69 $1,506 
Total restructuring charges69 1,506 
Total restructuring and impairment charges$69 $1,506 
Our AES and EMS operating segments both incurred an immaterial amount of restructuring and impairment charges for the three months ended March 31, 2022. Our AES and EMS operating segments incurred $1.5 million and an immaterial amount of restructuring and impairment charges, respectively, for the three months ended March 31, 2021.
Restructuring Charges & Related Expenses - Manufacturing Footprint Optimization
During the third quarter of 2020, we commenced manufacturing footprint optimization plans involving certain Europe and Asia manufacturing locations, primarily impacting our AES operating segment, in order to achieve greater cost competitiveness as well as align capacity with end market demand. The majority of the restructuring activities were completed in the first half of 2021. We incurred an immaterial amount of restructuring charges and related expenses for the three months ended March 31, 2022, including severance and related benefits. Severance and related benefits activity related to the manufacturing footprint optimization plan is presented in the table below for the three months ended March 31, 2022:
(Dollars in thousands)Manufacturing Footprint Optimization Restructuring Severance
Balance as of December 31, 2021$1,395 
Provisions— 
Payments(26)
Foreign currency translation adjustment(26)
Balance as of March 31, 2022$1,343 
Other Operating (Income) Expense, Net
The components of “Other operating (income) expense, net” line item in the condensed consolidated statements of operations, were as follows:
Three Months Ended
(Dollars in thousands)March 31, 2022March 31, 2021
UTIS fire
Fixed assets write-offs$— $891 
Inventory charges201 280 
Professional services434 522 
Lease obligations232 486 
Compensation & benefits796 244 
Other11 — 
Insurance recoveries(2,190)(1,119)
Total UTIS fire(516)1,304 
(Gain) loss on sale or disposal of property, plant and equipment(15)(89)
Total other operating (income) expense, net$(531)$1,215 
In early February 2021, there was a fire at our UTIS manufacturing facility in Ansan, South Korea, which manufactures eSorba® polyurethane foams used in portable electronics and display applications. The site was safely evacuated and there
were no reported injuries; however, there was extensive damage to the manufacturing site and some damage to nearby property. Operations in South Korea will be disrupted into the first half of 2023.
We recognized additional insurance recoveries of $2.2 million for the three months ended March 31, 2022 as a result of an initial $2.5 million insurance payout related to our property damage claims. This was partially offset by incurred expenses of $0.4 million for various professional services, $0.8 million for compensation and benefits for UTIS manufacturing employees subsequent to the fire, $0.2 million for related to obligations under our manufacturing facility lease agreement and $0.2 million of inventory charges for the three months ended March 31, 2022.
We recognized fixed asset write-offs and inventory charges of $0.9 million and $0.3 million, respectively, related to property destroyed in the fire for the for the three months ended March 31, 2021. Additionally, we recognized a $0.5 million contingent liability pertaining to our obligations for the fire damage to the building in connection with the underlying lease agreement. We have incurred $0.5 million of fees for various professional services for the three months ended March 31, 2021, in connection with the assessment of the fire and the efforts to rebuild and resume operations. Further, we incurred $0.2 million of compensation and benefits for UTIS manufacturing employees, subsequent to the fire, for the three months ended March 31, 2021. In connection with the UTIS fire, we have recognized anticipated insurance recoveries of $1.1 million related to our ongoing insurance claim for property damage and compensation and benefits of hourly employees, less the applicable $0.3 million deductible, for the three months ended March 31, 2021.
Interest Expense, Net
The components of “Interest expense, net” line item in the condensed consolidated statements of operations, were as follows:
Three Months Ended
(Dollars in thousands)March 31, 2022March 31, 2021
Interest on revolving credit facility$839 $101 
Line of credit fees138 273 
Debt issuance amortization costs179 179 
Interest income(108)(195)
Other21 249 
Total interest expense, net$1,069 $607