Accrued Restructuring

3 Months Ended

Mar. 31, 2014

Restructuring and Related Activities [Abstract]

Restructuring and Related Activities Disclosure [Text Block]

Restructuring and Other Charges

The following table summarizes the Company's restructuring and other charges as presented in the Condensed Consolidated Statement of Operations (in thousands):



	Three Months Ended
	March 31,
	2014			2013
Employee-related restructuring expenses	$	853		$	517
Fair value adjustments to Continuous Computing contingent consideration liability	—			(740		)
Facility reductions	(6		)	—
Write off of purchased computer software	—			3,068
Net gain from sale of OS-9 software assets	—			(1,575		)
Integration-related expenses	453			—
Restructuring and other charges, net	$	1,300		$	1,270

Restructuring and other charges includes expenses incurred for employee terminations due to a reduction of personnel resources resulting from modifications of business strategy or business emphasis. Employee-related restructuring expenses include severance benefits, notice pay and outplacement services. Restructuring and other charges may also include expenses incurred associated with acquisition or divestiture activities, facility abandonments and other expenses associated with business restructuring actions.

For the three months ended March 31, 2014, the Company recorded the following restructuring charges:


•	$0.9 million net expense relating to the severance of employees in connection with the previously reported Penang site closure, as well as severance for 12 additional employees, net of reductions resulting from changes in previously estimated amounts for employee severance and associated payroll costs; and


•	$0.5 million net expense principally associated with asset write-offs and personnel overlap resulting from resource consolidation primarily associated with the Shanghai and Penang site closures.

For the three months ended March 31, 2013, the Company recorded the following restructuring and other charges:


•	$1.6 million net gain from the sale of the Company's OS-9 software assets;


•	$3.1 million expense relating to the write off of the Company's Security Gateway ("SEG") purchased computer software;


•	$0.5 million net expense for the severance of nine employees, net of reduction resulting from changes in previously estimated amounts for employee severance and associated payroll costs; and


•	$0.7 million gain due to the decrease in fair value of Continuous Computing contingent consideration liability.

Accrued restructuring, which is included in other accrued liabilities and other long-term liabilities in the accompanying Condensed Consolidated Balance Sheets as of March 31, 2014 and December 31, 2013, consisted of the following (in thousands):



	Severance, payroll taxes and other employee benefits			Facility reductions			Total
Balance accrued as of December 31, 2013	$	1,786		$	961		$	2,747
Additions	911			—			911
Reversals	(58		)	(6		)	(64		)
Expenditures	(1,092		)	(149		)	(1,241		)
Balance accrued as of March 31, 2014	$	1,547		$	806		$	2,353

Of the $2.4 million accrued restructuring at March 31, 2014, $0.2 million is included in other long-term liabilities with the remaining balance being included in other accrued liabilities on the Condensed Consolidated Balance Sheets.

The Company evaluates the adequacy of the accrued restructuring charges on a quarterly basis. Reversals are recorded in the period in which the Company determines that expected restructuring obligations are less than the amounts accrued.

- Definition

The entire disclosure for restructuring and related activities. Description of restructuring activities such as exit and disposal activities, include facts and circumstances leading to the plan, the expected plan completion date, the major types of costs associated with the plan activities, total expected costs, the accrual balance at the end of the period, and the periods over which the remaining accrual will be settled.

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