Restructuring Costs

12 Months Ended

Jun. 30, 2020

Restructuring and Related Activities [Abstract]

Restructuring and Related Activities Disclosure [Text Block]

Restructuring Costs

In February 2020, the Company announced a business improvement plan for the Electrical Infrastructure segment and its strategic initiative to exit the domestic iron and steel industry. Planned activities under the business improvement plan and the wind down of the domestic iron and steel industry were expanded in the second half of the year due to lower revenue in fiscal 2020 and uncertainties caused by the COVID-19 pandemic.

The business improvement plan consisted of discretionary cost reductions, workforce reductions and closures of certain offices in order to increase the utilization of the Company's staff and bring the cost structure of the business in line with the near-term revenue expectation. The restructuring costs are primarily comprised of severance and personnel-related costs related to reductions in workforce and impairments of operating lease right-of-use assets, other intangible assets and other fixed assets related to the closure of certain offices. The Company incurred $14.0 million of restructuring costs in fiscal 2020 and has substantially completed its business improvement plan and the wind down of the domestic iron and steel business as of June 30, 2020.

Restructuring costs incurred are classified as follows:

	Fiscal Year Ended June 30, 2020
	(in thousands)
Electrical Infrastructure
Severance costs and other benefits	$	1,571
Facility costs	234
Other intangible asset impairments	1,150
Total Electrical Infrastructure	$	2,955
Oil Gas & Chemical
Severance costs and other benefits	$	1,767
Facility costs	1,708
Other intangible asset impairments	375
Total Oil Gas & Chemical	$	3,850
Storage Solutions
Severance costs and other benefits	$	576
Facility costs	720
Other intangible asset impairments	—
Total Storage Solutions	$	1,296
Industrial
Severance costs and other benefits	$	4,861
Facility costs	1,048
Other intangible asset impairments	—
Total Industrial	$	5,909
Total restructuring costs	$	14,010
Restructuring Costs by Type:
Total severance costs and other benefits	$	8,775
Total facility costs	3,710
Total other intangible asset impairments	1,525
Total restructuring costs	$	14,010

The table below is a reconciliation of the beginning and ending restructuring reserve balance (in thousands):

Balance as of June 30, 2019	$	—
Restructuring costs incurred	14,010
Non-cash restructuring costs	(5,215)
Cash payments	(6,392)
Balance as of June 30, 2020(1)	$	2,403

(1)The restructuring reserve is included within other accrued expenses in the Consolidated Balance Sheets.