Restructuring and Other Charges

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



	December 31, 2017		December 31, 2016		December 31, 2015
Employee-related restructuring expenses	$	5,504	$	2,771	$	3,890
Lease abandonment expenses	57		—		392
Integration-related, legal and other non-recurring expenses	1,035		106		513
Fixed assets	1,743		40		225
Restructuring and other charges, net	$	8,339	$	2,917	$	5,020

Restructuring and other charges may include costs from events such as costs incurred for employee severance, acquisition or divestiture activities, excess facility costs, certain legal costs, asset related charges and other expenses associated with business restructuring activities.

During the year ended December 31, 2017, the Company recorded the following restructuring and other charges:

•

$5.5 million net expense relating to the severance for 92 employees primarily in connection with a restructuring of the Company's DCEngine product line, reducing the Company's hardware engineering presence in Shenzhen, China as well as reductions in North America due to the transition of the Company's supply chain operations to third party integration partners; an additional $0.8 million of expense will be recognized over a portion of the notified employees' respective service terms that span up to the next three quarters;


•	$1.7 million associated with accelerated depreciation of fixed assets related to DCE restructuring plans;


•	$1.0 million legal and other expense associated with contract termination costs and legal costs resulting from the Company's credit facility; and


•	$0.1 million lease abandonment expense associated with reductions in certain of our international sites.

During the year ended December 31, 2016, the Company recorded the following restructuring and other charges:


•	$2.8 million net expense relating to the severance of 74 employees primarily in connection with a reduction to the Company's hardware engineering presence in Shenzhen, China as well as reductions in North America due to the transition of the Company's supply chain operations to third party integration partners; and


•	$0.1 million integration-related expense principally associated with transfer-related costs resulting from resource and site consolidation actions.

During the year ended December 31, 2015, the Company recorded the following restructuring and other charges:

•

$3.9 million net expense relating to the severance of 130 employees primarily within Asia and North America. These actions were in connection with the restructuring of the Company's Hardware Solutions segment's research and development and sales and general administrative functions and are presented net of reductions resulting from changes in previously estimated amounts for employee severance and associated payroll costs;


•	$0.5 million integration-related expense principally associated with transfer-related costs resulting from resource and site consolidation actions;


•	$0.4 million lease abandonment expense associated with reductions in certain of our international sites; and


•	$0.2 million associated with fixed asset disposals related to site consolidation actions.

Accrued restructuring, which is included in other accrued liabilities and other long-term liabilities in the accompanying Consolidated Balance Sheets as of December 31, 2017 and 2016, consisted of the following (in thousands):



	Severance, payroll taxes and other employee benefits			Facility reductions			Total
Balance accrued as of December 31, 2016	$	1,347		$	90		$	1,437
Additions	5,670			57			5,727
Reversals	(166		)	—			(166		)
Expenditures	(4,077		)	(147		)	(4,224		)
Balance accrued as of December 31, 2017	$	2,774		$	—		$	2,774

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.