RESTRUCTURING CHARGES

9 Months Ended

Dec. 31, 2019

During fiscal year 2019, the Company took actions to optimize its portfolio with greater focus to be placed on higher margin, less volatile businesses. During the first half of fiscal year 2020 in connection with the recent geopolitical developments and uncertainties, primarily impacting one customer in China, the Company experienced a reduction in demand for products assembled for that customer. As a result, the Company accelerated its strategic decision to reduce its exposure to certain high-volatility products in both China and India. The Company also initiated targeted activities to restructure its business to further reduce and streamline its cost structure. During the three and nine-month periods ended December 31, 2019, the Company recognized $14.6 million and $199.1 million, respectively, of restructuring charges. The Company incurred cash charges of approximately $14.9 million and $142.7 million, respectively, that were predominantly for employee severance, in addition to non-cash charges of an immaterial amount and $56.4 million, respectively, primarily related to asset impairments during the three and nine-month periods ended December 31, 2019.

During the three and nine-month periods ended December 31, 2018, the Company recognized $65.8 million and $100.4 million, respectively, for charges primarily associated with the wind down of its NIKE operations in Mexico, the majority of which were for non-cash asset impairments.

The following table summarizes the provisions, respective payments, and remaining accrued balance as of December 31, 2019 for charges incurred during the nine-month period ended December 31, 2019:



	Severance			Long-Lived Asset Impairment			Other Exit Costs			Total
	(In thousands)
Balance as of March 31, 2019	$	23,234		$	—		$	9,200		$	32,434
Provision for charges incurred during the nine-month period ended December 31, 2019	107,598			44,746			46,779			199,123
Cash payments for charges incurred in the fiscal year 2019 and prior	(13,267		)	—			(2,800		)	(16,067		)
Cash payments for charges incurred during the nine-month period ended December 31, 2019	(96,827		)	—			(34,125		)	(130,952		)
Non-cash charges incurred during the nine-month period ended December 31, 2019	—			(44,746		)	(12,344		)	(57,090		)
Balance as of December 31, 2019	20,738			—			6,710			27,448
Less: Current portion (classified as other current liabilities)	20,738			—			6,710			27,448
Accrued restructuring costs, net of current portion (classified as other liabilities)	$	—		$	—		$	—		$	—