Restructuring, Acquisition and Integration-Related Costs

12 Months Ended

Dec. 31, 2023

Restructuring and Related Activities [Abstract]

Restructuring, Acquisition and Integration-Related Costs

Restructuring, Acquisition and Integration-Related Costs

The Company incurs costs in connection with acquiring, integrating and restructuring acquisitions and in connection with its global cost-reduction/productivity initiatives. For example:

•In connection with acquisition activity, the Company typically incurs costs associated with executing the transactions, integrating the acquired operations (which may include expenditures for consulting and the integration of systems and processes), and restructuring the combined company (which may include charges related to employees, assets and activities that will not continue in the combined company); and

•In connection with the Company’s cost-reduction/productivity initiatives, it typically incurs costs and charges associated with site closings and other facility rationalization actions, including accelerated depreciation ("asset write-downs") and workforce reductions.     

Restructuring, acquisition and integration-related costs consisted of the following during the year ended December 31, 2023, 2022 and 2021, respectively (in thousands):

	2023		2022	2021
Cost of sales:
Restructuring costs	$	103,422	67,621	17,899
Acquisition integration-related costs	974		396	497
Restructuring and acquisition integration-related costs	$	104,396	68,017	18,396
Selling, general and administrative expenses:
Restructuring costs	$	12,385	9,094	1,301
Acquisition transaction-related costs	2,117		1,654	2,372
Acquisition integration-related costs	12,712		2,992	1,568
Restructuring, acquisition transaction and integration-related costs	$	27,214	13,740	5,241

The restructuring activity for the years ended December 31, 2023 and 2022, respectively is as follows (in thousands):

	Lease Impairments		Asset Write- Downs (Gains on Disposals)	Severance	Other Restructuring Costs	Total
Balance as of December 31, 2021	$	—	—	1,634	995	2,629
Restructuring costs:
Global Ceramic	—		—	3,365	—	3,365
Flooring NA	—		29,327	741	14,406	44,474
Flooring ROW	—		9,371	12,677	6,828	28,876
Corporate	—		—	—	—	—
Total restructuring costs for 2022	—		38,698	16,783	21,234	76,715
Cash payments	—		—	(8,557)	(21,241)	(29,798)
Non-cash items	—		(38,698)	177	(988)	(39,509)
Balance as of December 31, 2022	—		—	10,037	—	10,037
Restructuring costs:
Global Ceramic	480		16,106	7,826	717	25,129
Flooring NA	—		28,180	768	22,073	51,021
Flooring ROW	—		31,453	4,272	3,770	39,495
Corporate	—		—	162	—	162
Total restructuring costs for 2023	480		75,739	13,028	26,560	115,807
Cash payments	—		—	(10,155)	(18,641)	(28,796)
Non-cash items	(480)		(75,739)	(816)	(7,919)	(84,954)
Balance as of December 31, 2023	$	—	—	12,094	—	12,094
2022 restructuring costs recorded in:
Cost of sales	$	—	38,698	7,915	21,008	67,621
Selling, general and administrative expenses	—		—	8,868	226	9,094
Total restructuring costs for 2022	$	—	38,698	16,783	21,234	76,715
2023 restructuring costs recorded in:
Cost of sales	$	—	75,593	5,778	22,051	103,422
Selling, general and administrative expenses	480		146	7,250	4,509	12,385
Total restructuring costs for 2023	$	480	75,739	13,028	26,560	115,807

The Company generally expects the remaining severance and other restructuring costs to be paid over the next year.